COVID-19 Revenue guidance on Wage Subsidy Scheme

Apr 20, 2020

Updated FAQs from Revenue, published 16 April, answer some of the common questions from members on the current version of the scheme.  We have also obtained some clarifications from Revenue on other matters. 

Updated Revenue FAQs – version 6

The updates to the Revenue FAQs published on 16 April bring us to Version 6 of the Revenue’s guidance on the scheme. The updates are highlighted in grey. The common query from members on the impact of the subsidy on tax and pensions is answered in this document, i.e. the impact of the subsidy on the tax approval status of an employer occupational pension scheme (1.11) and the employees’ ability to make a pension contribution (1.7 and 1.10). Other updates include:

  • the interaction with PAYE Exclusion Orders (3.14);
  • the calculation of employers PRSI (4.2);
  • calculating the average net weekly pay (4.3);
  • correcting payroll submissions (4.10); and
  • returning overpayments of the subsidy to Revenue (6.1).

Clarifications from Revenue

  • We expect clarification from Revenue on group companies later today. There is likely to be another update to the FAQs.
  • The process to be applied in the case of staff transferred under the Transfer of Undertaking Provisions (TUPE) is still under consideration by Revenue. 
  • We have also raised some initial points with Revenue on the position for employers as they gradually re-open or resume activity.

We are continuing to obtain timely clarifications. As we receive relevant updates, we are advising all members via the appropriate channels. Please check in regularly on the COVID-19 Hub for latest updates.