Re: Gift Cards/Vouchers – a simple way of giving your staff a bonus without having to pay Tax/PRSI/USC

Did you know an employer can provide an employee/director with a non-cash bonus or benefit that is not applicable to PAYE/USC/PRSI?  This benefit cannot exceed €500 in the year of payment.  Normally no more than one benefit can be given to an employee in a tax year (i.e. you couldn’t make a payment of €200 in Jan and €300 in Dec – only one payment was allowed).  However, due to Covid-19 Revenue have waived this requirement, but only in respect of employees who continued to work during lockdown. The maximum payment cannot exceed €500, where a benefit exceeds €500 then the full value of the benefit is subjected to PAYE/USC/PRSI.

Please note the scheme is limited to vouchers only.

If you have any queries please do not hesitate to contact one of our staff members on 07493-21420.