Many of our clients have children over 16 year of age, whom help out in the family business during the summer break. Remember you can legally pay them at comparable rates to any other person you may employ to carry out that task. They will receive tax credits and standard rate cut off, and in many cases it means they can earn up to €16,500 in a year and pay no PAYE, and only pay USC and PRIS, and indeed this may be reclaimed at the end of a year if certain thresholds have not been reached.
If you wish to employ a family member or indeed anyone for the summer, please contact Evelyn who will help you to do this. Under no circumstances is it permitted to pay cash or “a few bob” or expenses to anyone – everything should be put through a payroll system, and what we are advising you, is that in many circumstances, very little tax will be payable. The law in regard to Interns/summer workers has also firmed up from a HR point of view and if you need assistance with this please contact Colum and he can refer you on to ADARE HR, who we recommend.
New business start-ups – Exemption for Corporation tax.