May 2018


PAYE Modernisation - The Facts

PAYE Modernisation is a mandatory payroll requirement that will be introduced from the 1st January 2019. It won’t change the way you calculate your PAYE information, it just means that you will need to send your data through to Revenue in real time. Every time you pay your employees (i.e. each pay period), you will need to submit PAYE information to Revenue, through an API link via your payroll software. This is compared to the current system where reporting is required just once a year at the payroll year end.

Employers should take steps to ensure their existing records are up-to-date and correct. Employer duties include:

  • Register as an employer (for new employers).
  • Take reasonable steps to verify the PPSN provided by employees, e.g. check it against:
    • Public Services Card
    • Tax Credit Certificate from a previous employment
    • P45
    • P60
    • Any item of correspondence from Revenue quoting the PPS number. 
  • If an employee does not hold a PPS number, advise them to contact the Department of Social Protection to apply for one.
  • Register all employees with Revenue (i.e. P45(3) or P46 where the employee has no P45). Where the new employee has not worked in Ireland before, the employee must register the employment online using the Jobs and Pension service available in myAccount. The Jobs and Pension service can also be used by employees who are changing from one employment to another. Once the employment has been registered, Revenue will issue a tax credit certificate.
  • Issue a P45 when an employee ceases employment and submit it to Revenue.
  • Ensure that they have received an up-to-date tax credit certificate for each employee. The leaflet outlines the basis of tax which should be applied on the first payday of a new tax year in the event that an up-to-date tax credit certificate for that year is not received.
  • Ensure that they hold a complete PAYE, PRSI and USC record for each employee at the end of the tax year.

PAYE Modernisation Compliant Software

To comply with PAYE Modernisation you will need to utilise fully compliant payroll software. BrightPay is working directly with Revenue to ensure this new real time process is as easy as possible for our customers. BrightPay is simple and easy to use payroll software that makes your payroll journey hassle free. With a 99% customer satisfaction rate and free customer support, Thesaurus and BrightPay are the payroll solutions to help you with PAYE Modernisation.

Free PAYE Modernisation Training

BrightPay has teamed up with Revenue as guest speakers to bring you free PAYE Modernisation training webinars throughout the year. Find out more on our events page or subscribe to our newsletters to ensure you never miss out on free training again.

Upcoming Webinars: Understanding and implementing the new legislation

The way in which we communicate and send payroll information to Revenue is changing. The objective of PAYE Modernisation allows for Revenue, employers and employees to access the most accurate, up-to-date information relating to pay and statutory payroll deductions.


  • PAYE Modernisation: Understanding and implementing the new legislation for your clients
  • Guest Speaker: Sandra Clarke (BCC Accountants)
  • Guest Speaker: Sinead Sweeney (Revenue)

Places are limited - make sure to book your place now to avoid disappointment: 
Register for Payroll Bureau Webinar | Register for Employer Webinar

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Posted byHolly McHughinPAYE Modernisation