1. Income Tax Collection Income Tax Collection
Pay As You Earn (PAYE) system applies to Schedule E income
Employees fall under the PAYE system
Employers responsible for the deduction of Income Tax, PRSI and USC from payments to employees

2. Income Tax Collection Pay As You Earn (PAYE)
Non-PAYE income up to €50,000 gross and up to €3,174 assessable can be taxed through PAYE system
Coded into tax credits
Tax paid by filing a Form 12 tax return

3. Income Tax Collection Self-assessment Chargeable persons
Income above €50,000 gross, or
Assessable income above €3,174
All proprietary directors

4. Income Tax Collection Obligations of chargeable persons
For the prior year file an income tax return (Form 11) by 31st October
Pay the balance of income tax due for the prior year by 31st October
Pay Preliminary tax for the current tax year

5. Income Tax Collection Preliminary Tax
100% of previous year’s liability
90% of current year’s liability
105% of pre-preceding year’s liability

6. Income Tax Collection Surcharge for late filing
5% of tax liability if return is made within two months of due date (max €12,695)
10% of tax liability if return is more than two months late (max €63,485)

7. Income Tax Collection Late payment of tax
Can be subject to interest of % per day

8. Income Tax Collection Share Options
A share option is an employment award that gives an employee the option to purchase a share at a set price regardless of market price of the share
This is taxable income
PAYE employees become chargeable persons when they receive share options

9. Income Tax Collection Obligations Register for self-assessment
File an RTSO1 form within 30 days of exercise and pay tax, PRSI and USC
File an income tax return