PAYE Modernisation – the quality of the data (Sponsored)

Nov 01, 2019

As the first year-end under PAYE Modernisation approaches, employers have already submitted almost 70 million line items. As you might expect, Revenue has been busy analysing that data.

Revenue established a small ‘Data Quality’ team earlier in the year and they have been looking at employers’ returns to identify potential issues. Where such issues have been identified, they worked directly with the employer to resolve them.

As we move towards year-end, Revenue is increasing engagement with employers to ensure that issues are rectified before employees receive their Employment Detail Summaries, which will replace P60s.

What is Revenue looking for?

A Revenue payroll line item contains up to 53 unique pieces of data, and Revenue compares the values of these items to identify possible issues. Revenue currently applies the following checks to your data:

Revenue data quality test

Line items identified as of 31 August

Pay for USC not equal to pay for employee PRSI


Gross pay less than pay for USC


Pay for USC less than pay for income tax


Gross pay less than pay for income tax


No PPSN and income tax paid < 40%


Negative gross pay


Emergency tax with RPN


Emergency tax with no income tax paid


USC exempt but USC paid


Filing date after payment date

Unknown – but Revenue is monitoring late filings, including corrections made after the payment date.

How could these issues arise?

A small number of issues have been identified in various payroll software packages, but these have mostly been identified and fixed by the suppliers.

Most issues were caused by employers who misconfigured their payroll software. For example, an employer may have configured a subsistence allowance to be exempt from PAYE and PRSI, but not USC. Or they may have a salary sacrifice that was set up as allowable for PAYE and PRSI, but not USC.

Revenue has not been in contact, so my data must be okay!

Perhaps it is, but we would recommend that all employers check the configuration of their payroll software to ensure that it has been set up correctly.

Revenue will ramp up its engagement with employers in the coming months and if you do have an issue, they will eventually reach you and you will be expected to make the necessary corrections – even if it relates to a previous tax year.

What can I do to resolve these issues?

The first thing employers should do is check whether any of their submissions fail the Revenue tests. In CollSoft Payroll, we have developed a report that applies Revenue Data Quality tests to your submissions, thus alerting you to any potential issues – your payroll software may be able to produce a similar report.

Then, depending on the issues identified, you may need to correct existing submissions or make cumulative adjustments in your next payroll submission to Revenue.

Revenue has published a document outlining the various correction rules, which you can access here.

Visit to find out how CollSoft Payroll can help improve the quality of your payroll data.

(Sponsored by CollSoft)