Institute raises awareness of the administrative issues impacting cross border workers

The Institute has written to Tánaiste and Minister for Finance, Simon Harris and Minister for Enterprise, Tourism and Employment, Peter Burke to outline the administrative burdens arising from tax issues affecting cross-border and remote/hybrid working on the island of Ireland.

The issues outlined in the letters reflect the outputs from the Institute’s Joint Tax Working Subgroup on Cross‑Border and Remote/Hybrid Working, established in 2024 and highlight the key obstacles and challenges currently hindering trade and the full realisation of a truly integrated all-island labour market.

Amongst the issues raised were:

• The added administrative responsibilities for both employers and employees of operating a dual payroll.
• The administration burden and complexities arising when the social welfare obligations and benefits arise under a different jurisdiction than the country of employment.
• The uncertainty on the tax treatment of pension contributions and retirement income in the context of hybrid working arrangements for frontier workers.
• The need for education, training and better guidance from government bodies and the tax authorities.

We will continue to advocate on this issue and welcome the opportunity to meet with the Ministers to present our findings in greater detail and to discuss potential solutions. We also intend raising these issues with the Irish Minister’s counterparts in Northern Ireland in the coming days.