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EMPLOYER COVID-19 Wage Subsidy Scheme

By Administrator on March 28, 2020 in News, Payroll

The government have announced new measures for Irish workers affected by the COVID-19 crisis. A Temporary Wage Subsidy Scheme will be operated through Revenue and will run for 12 weeks starting Thursday 26th March 2020. It is based on 70% of the weekly average take-home pay up to a maximum of €410 for each qualifying employee. It replaces the COVID-19 Refund Scheme introduced last week. 

Who qualifies? 

  • Employers who can demonstrate a minimum of 25% decline in turnover. 
  • Employers who are unable to pay normal wages and normal outgoings fully.
  • Employers that keep their staff on payroll and have not ceased employees. Employers are encouraged to make top-up payments above the emergency payment. 
  • Employees for whom a payroll submission was made by the employer in the period from 1 Feb 2020 to 15 March 2020. 
  • Employees who are not claiming a payment from the DEASP for this period.

HOW to claim? 

  • If you have already registered for the “EMPLOYER COVID-19 REFUND SCHEME” you do not need to re-register. 
  • For new registrations, log on to ROS my enquiries and select ‘COVID-19 Temporary Wage Subsidy’. Read the Declaration and press “Submit”. 
  • Ensure the bank account details are correct on your ROS account. 

HOW to Operate? 

  • Employer makes the payroll submission to Revenue on or before each pay date. 
  • PRSI Class set to J9 
  • Pay amount is €0.01 if no top-up payment is made. However, top-up payments are encouraged. 
  • Non-taxable pay is 70% of normal weekly wage up to €410. 
  • The payroll submission must include pay frequency and period number. 

Any income tax and USC refunds that may be due to an employee will also be refunded. Revenue will credit the employer bank account within 48 hours depending on the bank. Employers names operating the scheme will be published after the scheme has expired and penalties will apply for any abuse of the scheme. 

 The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act upon such information without appropriate professional advice. 

DONAL: 086 2079878 

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