Issues arising from the taxation of the TWSS

Feb 15, 2021

Members have been in contact with the Institute since January to raise issues arising from the taxation of the Temporary Wage Subsidy Scheme (TWSS). We have in turn raised these issues with Revenue and we are currently awaiting a response. The CCAB-I has also tabled these issues for discussion with Revenue at TALC this week.

The matters with Revenue for clarification include:

  • Issues on who can opt to have TWSS tax collected via the PAYE system over four years from 2022 i.e., can a PAYE worker jointly assessed with a self-assessed spouse avail of this option.
  • Issues with the TWSS and SCSB calculation for tax exempt termination payment.
  • Issues on how to calculate the tax an employer can pay on behalf of an employee under the BIK concession.
  • Issues with 53 weeks of tax credits on the 2020 Form 12.
  • Issues with pre-population of TWSS payments on the Form 12.

As soon as we have clarification on these issues, we will make that information available via Tax News.