TWSS: Latest Update
The TWSS paid to employees via payroll was not subject to tax under the PAYE system. However, the amount received by the employee is liable to income tax and Universal Social Charge (USC).
Options to pay the income tax and USC arising on the TWSS payment include:
Revenue has confirmed that employers can pay employees’ TWSS tax liability without an additional tax liability. They will not apply Benefit-in-kind rules to these payments you make on behalf of your employees.
However, employers paying amounts to settle their employee IT liabilities will not receive a tax deduction for these payments.
Employers must engage directly with employees and agree on the method to pay the liability involved.
You must retain copies of any documentation and records covering your:
- engagement with your employees about these arrangements
- agreement to undertake these payment arrangements.
Please do not hesitate to contact us at PKF to discuss in further detail.
Capital Gains Tax – Tax deadline 31stJanuary 2021
Please contact us if you disposed of any assets, property or shares between 1st December and 31stDecember 2020. Capital Gains Tax on the disposals of chargeable assets in this period must be paid to Revenue no later than 31st January 2021.
UK Income Tax Return Year ended 5thApril 2020
UK income tax returns for year ended 5thApril 2020 are due to be submitted to HMRC with any applicable tax payment on or before 31stJanuary 2021. If you have not already submitted your UK return please contact us immediately to prepare same.