From the 1st Janurary 2019, Revenue have changed the way employee’s manage their Tax Credits by introducing PAYE Modernisation for all employers and employees.
You now have to manage your own Tax Credits and Cut-off Point through Revenue Online – (My Account).
Emergency Tax
Due to the Revenue’s PAYE Modernisation, all new staff and returning staff will need to register their job with BSS using the ‘Jobs and Pensions’ service in myAccount. Once you have done this we can access your RPN to correctly calculate your tax.
If you do not register online with the revenue BSS cannot gain access to your tax credits!
In the past we could put you on emergency tax if we did not receive a tax credit cert however we can no longer do this and your pay will be processed with 0 tax credit.
When your employer does not have your RPN
If you are not registered for PAYE your employer will not receive an RPN.
In this situation you will receive a single person’s rate band for the first four weeks. This means that in the first four weeks your weekly income:
Up to €679 will be taxed at the standard rate of tax (20%)
Over €679 will be taxed at the higher rate (40%).
After four weeks your total income will be taxed at 40%.