The Pay As You Earn (PAYE) system is a method of tax deduction under which an employer calculates and deducts any income tax due each time a payment of wages, salary etc. is made to an employee.
In addition, employers are obliged to calculate and deduct any liability to Pay Related Social Insurance (PRSI) and income levies.
You must register for PAYE/PRSI if you pay:
- €8.00 per week (€36.00 a month) or more, to an employee who has only one employment
- €2.00 per week (€9.00 a month) or more, to an employee who has more than one employment.
A company must register as an employer and operate PAYE/PRSI on the pay of directors even if there are no other employees.
You can register online using the Revenue Online Service – ROS, through the online eRegistration Service if you are:
- An individual who is currently registered for PAYE Anytime;
- An individual who is currently registered for Revenue’s Online Service – ROS;
- Represented by an Agent.
ROS is Revenue’s internet facility which provides you with a quick and secure facility to register for tax, pay tax liabilities, file tax returns, access your tax details and claim repayments. The facilities are available 24 hours a day, 7 days a week, and 365 days a year. You will also benefit from an extension to existing deadlines for paying tax and filing returns where you both pay and file using ROS. Further information on Revenue’s online service can be found at ROS.ie.
There are a limited number of customers where paper registration applications are still accepted - you will find details of those customers at eRegistration Service. However, paper applications received where the applicant is required to submit the application on-line will not be processed and the paper application will be returned for completion on-line.
If you are in one of the categories currently excluded from applying online, you should complete one of the following forms and submit it to your local tax office:
- PREM Reg - Employer (PAYE/PRSI) Tax Registration Form (PDF, 231KB)
- TR1 if an individual/partnership or trust (PDF, 446KB)
- TR2 if trading as a company (PDF, 1.25MB)
These forms can also be used to register for VAT. When you fill in the form and return it to your local Revenue office, you will receive confirmation of your registration as an employer, a registered number for PAYE purposes and detailed information regarding the operation of PAYE/PRSI.