Update on TWSS employee tax issues
Revenue provided some clarifications relevant to employees receiving payments under the Temporary Wage Subsidy Scheme (TWSS), during the ITI/Revenue webinar this week.
- Adjustment to employee tax credits to collect tax due on the TWSS: The adjustment to employee tax credits to collect tax due on the TWSS will be made in 2022 (not 2021). As is normally the case, Revenue will be flexible when determining the number of years over which the tax will be collected.
- Week 1/Month 1 Basis: Employees in receipt of payments under the TWSS who have been placed on a Week 1/Month 1 Basis by Revenue will continue on this Week /Month 1 Basis until the end of the year. A request to revert to the cumulative basis can be made by the employee. However, requests will be considered on a case by case basis, with reversion to the cumulative basis in only exceptional circumstances.