Navigating the New Enhanced Reporting Requirements (ERR)

In the ever-evolving landscape of taxation and payroll compliance, it is important for businesses to stay informed about reporting obligations that affect their day-to-day operations. One such requirement is Enhanced Reporting Requirements (ERR), which has become an established part of payroll compliance in Ireland.

Since its introduction, ERR has increased transparency around certain employee payments and strengthened Revenue’s visibility of non-taxable payments made by employers. In this blog, we explain what ERR is, the payments it covers and what employers should consider when managing their reporting obligations.

Enhanced Reporting Requirements (ERR) Explained

Enhanced Reporting Requirements (ERR) were introduced through Section 897C of the TCA 1997 under the Finance Act 2022.

ERR requires employers to report certain non-taxable payments made to employees and directors to Revenue. These reports must generally be submitted to Revenue on or before the date the payment is made.

The aim of ERR is to improve transparency, strengthen compliance and provide Revenue with more timely information relating to specific employee expenses and benefits.

Covered Expenses

ERR encompasses a number of commonly used non-taxable payments and reimbursements. Employers should ensure these payments are properly documented and reported where required.

Travel & Subsistence

• Travel – Vouched
• Travel – Unvouched
• Subsistence – Vouched
• Subsistence – Unvouched
• Eating On-Site Allowances
• Site-Based Employee Payments (including “Country Money”)
• Emergency Travel

Small Benefit Exemption (SBE)

The Small Benefit Exemption allows qualifying non-cash benefits, such as vouchers or gift cards, to be provided tax-free where Revenue conditions are met.

For reporting purposes, employers must record information such as:

• Date provided
• Value of the benefit

Remote Working Daily Allowance

For employees receiving a qualifying remote working allowance, employers must report:

• Number of qualifying days
• Amount paid
• Date paid

Options for Compliance

Employers have a number of options for managing ERR reporting.

1. Reporting Through Payroll and Revenue Online Service (ROS)

Many employers submit ERR information directly through their payroll software and Revenue Online Service (ROS). This helps streamline reporting and ensures information is submitted within the required timeframe.

2. Using a Third-Party Expense Management Solution

Some organisations choose to use specialist expense management providers. These systems can assist with the collection, validation and reporting of expense information, helping businesses maintain accurate records and support compliance requirements.

Key Considerations

As ERR has become part of standard payroll compliance, employers should focus on maintaining accurate processes and strong record-keeping practices.

Accurate Record-Keeping

Supporting documentation should be retained for all reportable payments to ensure records can be validated if required.

Timely Reporting

ERR submissions should be completed in accordance with Revenue requirements. Delays or omissions can create unnecessary compliance risks.

Payroll System Readiness

Payroll and expense management systems should be reviewed regularly to ensure they continue to support ERR reporting requirements efficiently and accurately.

Staying Informed

Payroll legislation and reporting requirements can evolve over time. Employers should continue to monitor Revenue guidance and seek professional advice where necessary.

How Jefferson Payroll Can Help

Managing ERR reporting requires accurate payroll data, strong processes and reliable payroll technology.

At Jefferson Payroll, we help employers manage payroll compliance through specialist payroll expertise and payroll software designed to support modern reporting obligations. Our team stays up to date with legislative developments and can assist businesses in maintaining accurate, timely and compliant payroll reporting processes.

Why It Matters

Enhanced Reporting Requirements are now an established part of Ireland’s payroll compliance framework.

By understanding what payments are reportable, maintaining accurate records and using appropriate payroll processes, employers can manage ERR obligations confidently and efficiently.

With the right systems and support in place, ERR reporting can become a straightforward part of payroll administration while helping organisations maintain strong compliance standards and payroll governance.