S.I. No. 284/1980 - Income Tax (Employments) Regulations, 1980.

S.I. No. 284 of 1980.

INCOME TAX (EMPLOYMENTS) REGULATIONS, 1980.

The Revenue Commissioners, in exercise of the powers conferred upon them by section 127 of the Income Tax Act, 1967 (No. 6 of 1967), hereby make the following regulations:

1. (1) These Regulations may be cited as the Income Tax (Employments) Regulations, 1980.

(2) These Regulations shall come into operation on the 2nd day of October, 1980.

2. The Income Tax (Employments) Regulations, 1960 ( S.I. No. 28 of 1960 ), are hereby amended—

(1) in Regulation 49 (inserted by the Income Tax (Employments) (No. 2) Regulations, 1960 ( S.I. No. 166 of 1960 ))—

( a ) by the substitution of the following paragraph for paragraph (1):

"(1) ( a ) In this Regulation—

'week' means any period of seven days commencing on a Thursday;

'cumulative emoluments of the week', in relation to any payment of emoluments, means the sum of all payments of emoluments made to the employee by employers (or an employer, if only one) in the course of the week up to and including that payment;

'cumulative taxable emoluments', in relation to any payment of emoluments, means the cumulative emoluments of the week in relation to that payment, reduced by the weekly tax-free allowances specified on the daily tax deduction card.

( b ) On the occasion of any such payment of emoluments as is referred to in Regulation 8 to a casual employee in respect of whom the employer holds a daily tax deduction card—

(i) the employer shall ascertain, in relation to that payment, the cumulative emoluments of the week and, by reference to the weekly tax-free allowances specified on the daily tax deduction card, the cumulative taxable emoluments; and having ascertained the cumulative taxable emoluments, he shall calculate the cumulative tax in respect thereof at such one or more than one of the rates of income tax chargeable for the year of assessment then current as may be determined by the Inspector;

(ii) if the said cumulative tax exceeds the cumulative tax corresponding to the employee's cumulative taxable emoluments at the last preceding payment of emoluments within the week, the employer shall deduct the excess from the emoluments on making the payment in question;

(iii) the employer shall record, in relation to the payment, in the space appropriate to the date of payment on the daily tax deduction card—

(A) the employer's registered number;

(B) the gross amount of the emoluments;

(C) the cumulative emoluments of the week;

(D) the weekly tax-free allowances specified on the daily tax deduction card;

(E) the cumulative taxable emoluments;

(F) the corresponding cumulative tax;

(G) the tax previously deducted within the week;

(H) the amount of tax, if any, deducted on making the payment." and

( b ) in subparagraph (4) (d), by the substitution of "the weekly amount" for "the daily amount", and

(2) in Regulation 53 (1) (inserted by the Income Tax (Employments) Regulations, 1978 ( S.I. No. 377 of 1978 )) by the substitution of "shall make on the prescribed form a copy of the duly completed daily emergency card, and at the end of the period of casual employment shall forthwith send the daily emergency card to the Inspector by whom the notice of registration referred to in Regulation 8 was issued and give the copy to the employee" for "and at the end of the period of casual employment shall give the daily emergency card to the employee".

and the said Regulation 53 (1), as so amended, is set out in the Table to this Regulation.

TABLE

53. (1) If a casual employee does not on the occasion of any period of casual employment deliver his daily tax deduction card to his employer, the employer shall, on making any such payment of emoluments as is referred to in Regulation 8 to the employee, deduct tax at the standard rate and keep records on a daily emergency card on the basis that the amount of the employee's tax-free allowances is one pound a day, shall make on the prescribed form a copy of the duly completed daily emergency card, and at the end of the period of casual employment shall forthwith send the daily emergency card to the Inspector by whom the notice of registration referred to in Regulation 8 was issued and give the copy to the employee.

GIVEN this 11th day of September, 1980.

P. McMAHON,

Revenue Commissioner.

EXPLANATORY NOTE.

These Regulations make certain amendments to the Income Tax (Employments) Regulations, 1960, in relation to the deduction of tax under PAYE from the earnings of casual employees.

The Regulations provide that a week's tax-free allowances will be allowed from the first day of the week and the tax for the week will be calculated cumulatively. This will to a large extent prevent overpayment of tax, and the consequent need for the employee to attend at the tax office to claim weekly refunds. The Regulations also provide—as an anti-evasion measure—for the provision of information by the employer to the tax office.

The Regulations have effect as from 2 October, 1980.