July Stimulus Package
Extended Easter Break for our team!
Temporary Covid-19 Wage Subsidy Scheme
- The scheme will operate to refund employers up to 70% of the net wage paid to employee subject to the thresholds detailed below.
- Refunds under this Scheme will be issued to employers with 2 working days.
- It replaces the previous €203 refund scheme and any employer who opted to operate this scheme will be contacted by Revenue to transfer to this new scheme.
- Employers are encouraged, but not obliged, to top-up the subsidy to bring the net wages of employees as close to 100% as possible.
- The Scheme can be applied even if an employees working hours have been reduced.
- The Scheme will operate in 2 phases:
- The Scheme is available to employers who are:
- During this period the Scheme will refund employers a maximum of €410 regardless of the employee’s income.
- However for administration purposes the employer is being asked to return the following information on the payroll:
- The Scheme does not currently allow for any refund where the employees average net weekly pay is greater than €960 per week.
- No IT, USC or PRSI is to be levied on the subsidy payment through payroll. The subsidy will be liable to IT and USC on review at the end of the year. Revenue have yet to announce how this will operate.
- Employer’s PRSI at a rate of 0.5% (down from 11.5%) applies to any top-up amounts.
- IT and USC should be applied on any top-up amounts.
- It is likely that the Scheme will trigger tax refunds for employees and employers can pay over the tax refunds to employees. Revenue will reimburse the tax refunds to employers.
Tax Relief for Working from Home
Roberts Nathan – Business Continuity Update
CRO set key dates for the Register of Beneficial Owners
- 29th April 2019 – The RBO will launch an official website to provide further guidance.
- 22nd June 2019 - The RBO will start accepting online submissions via live portal.
- 22nd November 2019 – This will be the last date for companies formed prior to June 2019 to submit their details.
RESIDENTIAL PROPERTY MANAGEMENT COMPANIES – ANNUAL REPORT AND SINKING FUND REQUIREMENTS
Annual Reports for Residential Property Management CompaniesThe Annual Report presented to the members of a residential property management company will cover a specific period, which is generally the preceding year's Financial Statements. For example, a residential property management company with a financial year end of 31st December 2013 will prepare and present the Annual Report, providing details of these Financial Statements, at the AGM held during 2014. Details which are required to be included in the Annual Report are as follows:
- A statement of income and expenditure incurred. (This will generally be taken from the Financial Statements of the company).
- A statement of assets and liabilities of the company. (This is to include details of amounts due to the company, amounts owed by the company and any bank balances held).
- Details in relation to the sinking fund (which we will cover below), to include the following:
1. The amounts currently held in the sinking fund,
2. The amount of the annual contribution to the sinking fund for each member, along with details of the basis of how such contribution was calculated.
- Details of the annual service charge for the period covered by the annual report i.e. the preceding year’s charge, along with details of how the service charge was calculated. Such calculations will generally be in the format of a budget of costs borne by the management company, with the total costs apportioned between the number of units within the complex.
- Details of the annual service charge for the current period, again providing details of how the service charge was calculated.
- Details of any planned expenditure on non-routine items such as refurbishment or improvements which is to be conducted in the current period.
- Details of the insurance cover taken out by the management company to include:-
1. The insured value of the complex,
2. The amount of the premium paid,
3. The name of the insurance provider
4. A summary of the principal risks covered by the insurance policy.
- Details of the fire safety equipment installed in the development, along with details of the current maintenance agreements in place for such safety equipment.
- Details of any contracts entered into between the management company and a director or directors of the company. For example, if one of the directors of the management company provides fire safety maintenance to the management company the details of this contract would need to be disclosed in the annual report, along with details of amounts paid for such services provided.
Sinking Funds of Residential Property Management CompaniesUnder Section 19 of the MUD Act, residential property management companies are required to establish a ‘Sinking Fund’ to ensure there are adequate resources available to cover ad hoc costs as:
- Maintenance of a non-recurring nature or,
- Advice from suitably qualified person on such work outlined in 1 – 3 above.