Galway Accountants GBS & Co Review Salary/Wage Implications for the local property tax
Local Property Tax (LPT) – Deduction at source from wages/salary or an occupational pension
Legislation governing LPT provides for payment by a liable person of LPT for 2013 in one single payment or by phased payments over the period July to December 2013. One of the phased payment options provided for in legislation is deduction at source from wages/salary or an occupational pension.
Employers/pension providers will be required to make this facility available to their employees/pension recipients from July 2013 onwards. Where deduction at source is the means by which LPT is to be paid, Revenue will notify the employer/pension provider via the employer’s/pension provider’s copy Tax Credit Certificate (P2C) to deduct LPT from the employee’s net salary or pension recipient’s occupational pension as appropriate. The employer/ pension provider must commence deductions of LPT on receipt of the P2C but no earlier than 1 July 2013 and spread these deductions evenly over the pay periods occurring between July and December 2013. They will be required to account for and remit the deducted LPT to Revenue on Forms P30 and P35, and to employees on payslips, P60’s and P45’s as appropriate.
Accountants in Galway GBS & Co operate a comprehensive payroll system where by the above can be facilitated
Contact Galway Accountant Ciaran Guilfoyle on www.easypayroll.ie