Enhanced Employer Reporting Requirements from 1st January 2024

Effective January 1, 2024, Section 897C of the Finance Act 2022 mandates employers and payroll processors to report details of specific payments made to employees and directors.

What has changed?

Currently, an employer must report salaries or wages to an employee via Revenue Online Service (ROS) on a real time basis. 

From 1st January 2024, employers must report via ROS the following payments to employees:

  • Travel and subsistence expenses
  • Small benefit exemption
  • Remote working daily allowance of €3.20 per day.

What travel and subsistence should be included in ROS reporting?

 The categories of travel and subsistence that will now need to be reported are:  

  • Travel vouched OR unvouched.
  • Subsistence vouched OR unvouched.
  • Site based employees including “country money”.
  • Emergency travel
  • Eating on site 

In order words, any travel or subsistence expenses that are incurred by the employee and reimbursed by the employer must be reported via ROS. 

What details will you be required to report?

The following details will be required as part of the new reporting regime:

Expense Type Date Paid Amount Paid Total No. Of Days
Travel & Subsistence X
Remote Working Daily Allowance
Small Benefit Exemption X

Remember if as an employer, you reimburse expenses, you must retain all receipts. You must keep all records for six years after the end of the tax year to which the records refer.

Is there any change to the small benefit exemption?

The only change to the small benefit exemption is that from 1st January 2024, employee vouchers must be reported via ROS. 

You can still give an employee up to 2 vouchers with an overall total of €1,000 in value per year.  

If you give an employee a 3rd voucher, this is taxable no matter the value! 

Are there any exceptions?

If a company credit card or a prepaid card is used by an employee to pay for expenses, then this is currently not reportable.  In addition, if fuel or motor tax are paid directly by the employer there is no requirement to report these benefits.

If you require any further information on these enhanced reporting requirements, please do not hesitate to contact us.