Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I am aware this is a matter of concern to many who are participating in the TWSS. Even at the very point the TWSS was launched, I and the Revenue Commissioner were at pains to make this point clear.

I will answer the specific questions Deputy Doherty put to me. At the end of 2020 Revenue will have all available information for each employee who received TWSS payments. Revenue will also have details of any pandemic unemployment payment, PUP, made by the Department of Employment Affairs and Social Protection. The payment details from both schemes will be included against an employee's tax record and a preliminary end-of-year statement will be created that will show an employee's end-of-year tax and USC position, that is, his or her tax or USC for the year balanced or underpaid or overpaid.

If an employee is in an underpayment position he or she may be entitled to additional tax credits and reliefs such as health expenses. He or she will need to complete their 2020 income tax return online through Revenue's myAccount to claim any additional tax credits or reliefs. Revenue will collect any tax owing by reducing an employee's tax credits and rate band so that the liability will be collected evenly during 2021 and, indeed, possibly beyond that. Alternatively, should an employee wish to pay his or her underpayment in part or in full, he or she can make a payment to settle any underpayment through myAccount.

Revenue will adopt a fair and flexible approach to collecting tax due on payments made under the TWSS to avoid any undue hardship on employees.

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