Mr. Niall Cody:

The TWSS was not subject to tax in the normal run by the employer. The €2.8 billion that was paid out directly was not subject to PAYE or USC. Through PAYE modernisation, we make available to all employees a preliminary statement of liability in mid-January. Based on our information, it sets out whether an employee owes us money or vice versa. That becomes the basis on which a taxpayer can claim additional credits, health expenses and so on or can report non-PAYE income. In mid-January, employees will be able to look to see what their end-of-year statements look like. That will incorporate any liability that arises under the TWSS.

No liability arises under the EWSS because it is run through payroll and is a subsidy to the employer and PAYE normally operates on wages. Regarding the pandemic unemployment payment, PUP, the feed from the Department of Social Protection will also be incorporated. This matter is currently under consideration in the Finance Bill, but it is anticipated that, once the Bill is passed, the PUP will be subject to PAYE but not USC, given that social welfare liabilities are not subject to USC.

In January, an employee will be able to see whether he or she owes us money because of the TWSS. If he or she does, the employee will have the opportunity to pay us. Alternatively, we will collect it over the following four years through a reduction in tax credits.