Non Irish Tax Resident Employees and Payroll Taxes

Posted in Employment, PAYE/PRSI

If an Irish company engages employees who are non Irish tax resident it does not have to operate Irish payroll taxes on their salaries.

This is on the basis that the employees:

  • Are not resident in Ireland for income tax purposes.
  • Are recruited abroad.
  • Carry out all the duties of their employment abroad.
  • Are not a director in the company.
  • Do not have an income tax liability in Ireland.

The company may need to register for and operate payroll taxes in the country where the employees are tax resident or where the contracts are performed.

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