Resolution
UPDATED 15 August 2022
We have compiled some common questions asked when processing the COVID-19 support payment.
Q: Should I deduct LPT or any other deductions when processing the COVID-19 Unemployment Benefit?
A: No deductions (including LPT, CWPS, Bike to Work, pension) should be applied when paying this Benefit.
Q: How will Revenue know I have paid my employees the COVID-19 Unemployment Benefit?
A: By submitting a Payroll Submission to ROS with the PRSI code as J9, this identifies to Revenue that you have paid your employee the COVID-19 support payment and enable them to refund you that payment.
Q: How will Revenue know the amount/number of weeks that I make this payment to my employees (non-weekly payroll)?
A: The number of insurance weeks included in the Payroll Submission to ROS will notify ROS of the amount of COVID-19 support payment you have given your employees. For example, if the benefit is €410 per week, if on a fortnightly payroll (insurance weeks showing as 2), Revenue will identify that you paid your employees €820.
Q: Do I still need to file Payroll Submissions to ROS each period if my business is closed?
A: Yes, you are paying your employees the COVID-19 support payment.
If your employees have applied for this payment directly to the DEASP and you are not making any payment to any of your employees, then no, no submission is required when no timesheets were saved for that period.
Q: How will Revenue refund the amount paid to my employees each week?
A: When you register your intent to pay your employees this benefit, it is necessary to ensure that your bank details are shown on your ROS account (MyEnquiries section).
Revenue aim to have this Refund payment made to your bank account within 2 working days of receiving the Payroll Submission to ROS. This is to ensure that Employers are not left out of pocket by facilitating the payment of this DEASP payment to employees in this difficult time.
Q: I am paying my employees the COVID-19 support payment and some of them are getting a Tax/USC refund. Should I give them this refund?
A: Yes, the employee is entitled to any refund the payroll software calculated. Revenue have advised that any refund of Tax/USC will also be refunded to the employers via their bank account when the refund of the COVID-19 support payment is paid (approx. 2 working days after Revenue receiving the Payroll Submission to ROS).
Q: Can I pay my employees all 6 weeks of COVID-19 support payment now?
A: No, you should continue your normal payroll frequency:
Weekly payroll: you can pay your employees the entitlement for the 1st 6 weeks of closure/layoff. This should not be made as a lump sum in the 1st week.
Fortnightly payroll: you can pay your employees the entitlement each fortnight.
Monthly payroll: You can pay your employees €812 for the month of March and €1015 for April.
Q: If I have already laid off/marked my employees as leavers and they have subsequently applied directly to the DEASP for the COVID-19 support payment, what should I do?
A: If some/all of your laid off employees have applied directly to the DEASP for this Unemployment Benefit, you should not re-instate those employees or save timesheets for them. As they have applied directly to the DEASP, you cannot process this benefit for them.
Q: If I have already laid off/marked my employees as leavers but they have NOT applied to the DEASP for the COVID-19 support payment, yet what should I do?
You should advise your employees that you will be paying them the COVID-19 support payment so that they can receive this money more quickly, rather applying to the DEASP. You will need to re-instate these employees if you have marked them as leavers in a previous period.
Q: I closed my business on Friday, the 13th of March to help with social distancing. When will my employees be entitled to the COVID-19 support payment?
A: Employees are entitled to receive the COVID-19 support payment from the 1st day that they are no longer working (Saturday the 14th in this example).
Q: Do my employees have to have a qualifying weekly salary in order to be eligible for this payment?
A: No, all employees are entitled to this payment once they are no longer working/the business has closed.
Q: I have several employees that don’t have PPS numbers. Can I pay them the COVID-19 support payment?
A: No, any employees without a PPS number will need to apply to the DEASP directly with regard to this.
Q: I have a monthly payroll. My employees worked 2 weeks of that month before the business closed. Can I pay my employee’s the COVID-19 support payment?
A: Yes for the 2 weeks that they were not working. See COVID-19 Temporary Wage Subsidy Scheme for how this should be processed as the 2 weeks COVID-19 support payment will need to be processed separately from the 2 weeks worked.
Disclaimer
This article provides general rather than specific guidance to assist all of our customers. We always do our best to make sure that the information is correct but as it's general guidance, no guarantees can be made concerning its suitability for your particular needs. The information is valid at the time of publishing and is provided without any warranty of any kind, express or implied. You should take professional advice if you require specific guidance on your individual circumstances, for example to ensure that the results obtained from using our software comply with statutory or regulatory requirements. For Employers, PAYE, PRSI and general tax enquiries you should call Revenue of Ireland (ROS) National Employer Helpline on 01 738 36380 or visit their website at Revenue Online In no event will we be liable to you for any direct, indirect, consequential or incidental loss or damage arising out of or in connection with your use of the information provided.