A SARP return must be made by an employer of
employees who availed of relief under the Special
Assignee Relief Programme (SARP) during the year
ended 31 December 2012 on or before 15 February
Under the SARP program 30% of basic salary (to a
maximum of €127,500) is excluded from the charge to
Income Tax for employees who take up full time
employment in Ireland. Qualifying employees must have
been a full time employee with a Company incorporated
and resident in a Treaty State for the 12 months prior to
arriving within the State. The individual must also be
resident in Ireland to qualify for the relief. The relief
does not apply to Universal Social Charge or PRSI. An
Employer will also be able to bear the cost of certain
items for a relevant employee on a tax free basis to
include the cost of a return trip for the employee and
family to an overseas country to which they are
connected plus primary and or post primary school fees
up to €5,000 per annum per child where the school is
approved by the Minister of Education.
The SARP return is available on the Revenue website
• details of the Employer and Employee registration
• employee name
• amount of income, profits or gains in respect of
which no tax was deducted
• costs associated with an annual return trip to the
country of residence or nationality for self and/or
• costs of school fees for children paid to an approved
school in the state
• increase in number of employees as a result of the
operation of the relief or number of employees
retained by the company as a result of the operation
of the relief
Posts Tagged ‘Innovation’
A SARP return must be made by an employer of
Our friends at the Influential Marketing Blog have written the following excellent blog.
Most of us have a love affair with the big idea. We memorialize and romanticize it. We attend workshops or read books to learn how to come up with it. And the celebrate the achievements of anyone who has had one. Yet for all of our focus on this big idea, perhaps there is something even more fundamental that powers real world changing ideas.
The Government recently announced funding of € 15 million to be provided over the next four years for 79 research projects as part of Science Foundation Ireland’s 2011 Research Frontiers Programme.
Many IT, Engineering and other Professional Contractors who use composite company structures may be facing large PRSI liabilities as Revenue and DSFA challenge the PRSI status of such contractors.
Contractors who hold only15% of the shares in a composite company may not be entitled to Class S PRSI status; employers PRSI of 10.75% will fall due in those circumstances. Class S status is only applicable to those shareholder/employees who control their companies. A 15% shareholding with up to 6 other contractors who may not know each other does not suggest control.
Noone Casey has developed I-Finance an online realtime accounting solution for professional contractors to address this concern & to legitimately maximise the tax advantages of contracting.
I-Finance uses the Limited Company type structure thus avoiding the employers PRSI issue. The table below gives you an idea of how each of the common contracting structures compare.
|Company Structure Type||Limited Company||Umbrella Company||Composite Company|
|Ownership||You own 100% of your own company||You have no ownership||You own 15% of an externally controlled company|
|Directorship||You and your appointee are directors of your own company||You have no directorship||You and up to 6 others are directors of the company. You may not know the other directors.|
|Employment||You are the employee of your own company||You are an employee of the umbrella company||You are an employee of the composite company|
|Expenses||You are entitled to tax deductible expenses through your own company||You are not entitled to any expenses||You may be entitled to a lesser amount of expenses|
|Tax planning||You can use your own company to assist in appropriate tax planning opportunities||You cannot use the umbrella company to assist in your tax planning||You cannot use the composite company to assist in your tax planning|
|Tax appropriateness||We ensure you manage your affairs in full compliance of all taxation and PRSI legislation||You are treated as an employee and have taxes deducted appropriately||The Revenue Commissioners are examining the appropriateness of the PRSI structures of composite companies|
This is the year of the Android. If the last couple of years have been about the Apple iPhone, 2011 will see Google’s operating system overtake Apple in the number of handsets shipped using its interface. The Sunday Business Post reviews seven of the most popular currently on the market.