The way in which an individual pays tax and PRSI is generally determined by whether they are employed or self-employed. The decision as to which label applies to an individual is arrived at by looking at what they actually do, the way they do it, and the terms and conditions under which they are engaged. The Scope Section of my Department decides the correct class of PRSI and, where appropriate, the responsible employer.
Scope Section has examined the status of home tutors on a number of occasions and has determined that they are engaged under a contract for services (self-employed) and that the appropriate PRSI class is class S. My understanding is that the Department of Education and Skills concurs with this view.
My understanding is also that the Department of Education and Skills, under an arrangement with the Revenue Commissioners, placed home tutors on payroll in 2015 and took responsibility for deducting PAYE/PRSI/USC from them, even though they are regarded as being self-employed. The Revenue Commissioners and the Department of Education and Skills can provide further information in relation to this arrangement.
I hope this clarifies the matter for the Deputy.