DUBLIN: The Revenue Department has launched a targeted crackdown on companies that receive more wage subsidies than they are entitled to. Officials are cross-referencing data from rolling checks on firms receiving wage subsidies with other information held on companies.
Holders of such illegal subsidies must repay all subsidies, including fines and penalties. These businesses will be excluded from further COVID-19 support schemes, and in extreme cases, they will face criminal charges. Officials will examine the eligibility for the scheme, and possible abuse of payroll.
The Employment Wage Subsidy Scheme, which replaced the Temporary Wage Subsidy Scheme, was introduced in September of last year. The scheme period was extended for another six months to the end of the year. Following this, more serious norms were announced in the scheme.
Officers will look at whether companies intentionally inflated wages or working hours in order to qualify for a subsidy. Signs of pay period manipulation and fraudulent employment amongst linked business entities or divisions to maximise payments will be investigated as well.
Companies seeking EWSS must now fill out a monthly qualifying form, showing that their revenue for 2021 is at least 30% lower than the reference period in 2019. The Revenue will create a risk profile for the employer based on the previous year’s income.
According to Revenue’s code of practice for audits and non-audit interventions, site inspections and profile inspections can be carried out without prior notice to the business owners. Officials can also conduct assurance checks and initiate investigations involving other State agencies.
June was the most expensive month for the EWSS in its ten months of operation. 34,200 employers received €475.5 million in payments. So far the government has paid approximately €4 billion in EWSS payments, in addition to the €2.9 billion paid under the previous TWSS.
Kindly click the link below to join WhatsApp group chat to get important news and breaking news from Irish Samachar