Department of Finance fast track tax free gift vouchers on time for Christmas

Michael Gaynor President Dundalk Chamber, Fergal McCormack Managing Director PKF FPM Accountants and Nicole Curran PKF FPM Accountants

The Department of Finance has announced that employers will be able to gift vouchers of up to €500, tax free and it was confirmed that this measure has come into effect and will apply to all vouchers purchased since 22nd October.

The fast tracking of this measure, to increase the value of non-cash bonuses or benefits which staff can receive from their employers without paying tax, will provide a great boost to local businesses in Dundalk.

It is great news that the change will take effect before Christmas so employees can now benefit from this in their Christmas bonus this year. Up until now, an employer could provide an employee with a once-off, annual non-cash benefit to the value of €250 that was not liable for tax. The new provisions, contained in the Finance Bill, mean the maximum value of such a benefit has now been increased to €500. Anything above that will still be subject to PAYE and PRSI.

This is a great incentive for employers to reward staff with a larger bonus for Christmas and it will provide a significant boost to the local economy, where people will spend the vouchers.

The Dundalk Chamber has introduced the SHOP LOCAL GIFT VOUCHERS which can be redeemed in over 140 local outlets.

Help keep our streets lively around Christmas time and the rest of the year. Every Shop local voucher helps support your local economy, keeping our community busy and Healthy.

Now is the time to enter your business in the Louth Business Awards 2022. There are 23 categories of awards this year, giving you a fantastic selection to choose from.