Revenue guidance updated for Finance Act 2024 amendments

Revenue has updated several Tax and Duty Manuals to reflect amendments introduced in Finance Act 2024. The updated guidance includes the manual on Outbound Payments and the guidance on foreign pension lump sums.

• Outbound payments defensive measures manual has been updated regarding excluded payments, and instances under Section 817U(6) TCA 1997 where a tax transparent entity and its owners/members are located in the same territory. In addition, example 5.1.2 has been revised to provide clarification on the association test as it applies in that example,
• Guidance on the taxation of foreign retirement lump sums reflects the amended definition of "standard chargeable amount" in Section 790AA TCA 1997 to mean €500,000 less the tax free amount, currently €200,000 (Paragraph 4.3.1 ), effective from 1 January 2025,
• Central Electronic System of Payment Information (CESOP) reflects the provision for a penalty regime for non-compliance by Payment Service Providers with their obligations under Part 9A VATCA 2010,  

• Dependent Relative Tax Credit - from 1 January 2025 the value of the credit will increase to €305, and the "specified amount" will increase to €18,028,
• Home Carers Tax Credit - from 1 January 2025 the value of the credit amounts to €1,950,
• Blind Person's Tax Credit - from 1 January 2025 the value of the credit amounts to €1,950 per qualifying individual,
• Single Person Child Carer Credit - from 1 January 2025 the value of the credit amounts to €1,900, and
• PAYE/USC Regulations - Emergency Tax has been updated to reflect the increase in tax rates and tax bands for 2025.