19 Mar, 2020

COVID-19 Refund Scheme for Employers

DEASP has issued details of the COVID-19 Refund Scheme, it is encouraging Employers to facilitate this scheme if possible.

What is the COVID-19 Refund Scheme?

· It Allows the Employer to make the €203.00 (Tax, USC & PRSI free) Emergency COVID 19 Payment to employees to minimise the hardship for employees who are temporarily laid off as a result of the Impact Coronavirus on their business.

· On receiving the submission detailing COVID 19 Payments made to employees, Revenue will reimburse by making a payment into the Employer’s account (next day if submission made before 2.00pm)

· Applies to;

  • Employees for whom a payroll submission was made during the period 1 February 2020 to 15 March 2020

  • Employers that keep their staff on payroll and have not ceased them with Revenue

  • Employers that are unable to make top-up payments over and above the emergency payment of €203.00 per week

Key feature of the scheme;

· Employee must confirm to the Employer that they have not and will not claim this payment from DEASP whilst the Employer makes this payment through payroll

· Employer will make payroll submission on or before the date of payment

· The payroll is run as normal entering the following for the relevant employees

  • €0.01 to be entered as Pay

  • A Non-Taxable Amount of €203.00

  • No other payment

  • PRSI Class is J9

· Once pay is calculated, in some cases it may generate an income tax and/or USC refund – This will also be refunded to the Employer

· If an employee qualifies for dependent payments, Employer to advise employee to make Jobseeker’s benefit claim via My Welfare.ie online portal

· If the employee(s) resume employment with the employer, or obtains other supports from DEASP, or secures employment elsewhere, the employer will not include the employee(s) concerned in future submissions.

· Employees that have already been laid off & Employer ceased their employment can apply directly to DEASP

How to make an application for the Refund Scheme via ROS:

Log on to ROS and click on My Enquires

  • Enter Client Tax Reference

  • Client Tax Reference Type - Employer (PAYE / PRSI)

  • Enquiry relates to – Employer COVID 19 Refund

  • More Specifically – COVID 19 Declaration

  • Read the declaration and press ‘Submit’

To set up Bank Account details for Refund

  • Go to Manage Bank Account

  • Click to Refund on right hand side of page

  • Enter appropriate Bank Details

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