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Under the new PAYE Modernisation system in 2019 it is now much simpler to switch payroll software system during the year. That is because each month is treated as its own mini end of year return. The pay run submissions now contain all the information required. Previously, the full picture was only given to Revenue in the end of year P35. However, while the new filing system is an improvement over pre-2019 filing, it fails to reach the full potential of period reporting. Additionally, it fails to facilitate the intent of GDPR in regard to data portability. The new RPN's contain the current tax rates and bands for employees. However, they do not maintain a running total of earnings and deductions. This information is only provided in the RPN when people change roles. However, that facility could have been extended to all RPN’s with only a minor extension of logic in the RPN request process. Being able
Did you know that Revenue have a web page devoted to keeping you updated on common 2019 PAYE modernisation issues? The Hot Topics page can be found here (https://www.revenue.ie/en/employing-people/paye-modernisation/hot-topics/index.aspx) At the moment it covers issues such as: Duplicate Employments, reasons they may have been created and how to clean them up. Reasons why users may experience difficulties accessing ROS Reasons why RPN's may not be available for certain employees Guidance for reconciling your 2018 year. You can download the reports in PDF. If you're experiencing any of the issues above then we recommend looking at these documents first.
PAYE Modernisation arrived with great anticipation on the 1st January 2019. It’s been a busy month but an exciting one for us here at Parolla. As with any new system which effects so many people it has not been without its challenges. However, issues have been limited and considering the enormity of the project the Revenue should be commended for all their hard work. Getting used to the changes will require time - only a small minority of the population like change and an even smaller amount of those people also like numbers. The “Why” reasons for P Mod are behind us and people now are getting their heads around the new language and the “How” behind the process. Previously when companies ran their pay run they downloaded files from their software or received the information from their accountant and manually uploaded this information to ROS. With PAYE Modernisation companies can link their ROS profiles