Dáil Éireann Debate, Tuesday - 16 June 2020
57. Deputy Pádraig O'Sullivan asked the Minister for Finance if his attention has been drawn to the fact that a person (details supplied) whose company is using the temporary wage subsidy scheme has been taxed over €90 on their weekly wage and that the person is not normally subject to tax under the incapacitated child allowance; and if there is a process in place to claim the tax back in the short term without having to wait until year end. [10547/20]
View answerThe Temporary Wage Subsidy Scheme (TWSS) is designed to support the objective of getting much needed financial assistance to employers and employees, where businesses have been seriously affected by the COVID-19 pandemic and the necessary restrictions introduced to fight the spread of the virus.
The subsidy is operated by employers through their payroll and the amount due to each employee is based on the aggregate weekly net pay (of the employee) for January and February 2020. While the TWSS is liable to Income Tax and Universal Social Charge (USC), these amounts are not being deducted from employees in real time through the PAYE system. Instead, they will become chargeable later as part of the employee end year review and may in fact be offset by unused tax credits or additional reliefs such as health expenses.
Revenue has advised me that it is not possible to determine the tax position of the person/s in question from the information provided. However, Revenue has assured me that it will immediately review the situation if the Deputy can provide further details regarding the identity of the person/s. The Deputy can make direct contact with Revenue via the Oireachtas Helpline at telephone number 01-858 9999.
