Irish Revenue has issued an “eBrief” in relation to the new share scheme reporting return (the Form ESA).1 The Revenue eBrief No. 163/21 (Revenue eBrief No. 163/21) confirms that the filing deadline for 2020 ESA returns has been extended from 31 August to 14 September 2021. This is in recognition of the fact that this is the first year for filing the new share scheme reporting return.
We had reported earlier this summer on Revenue eBrief No. 120/21 and eBrief No. 123/21 on share incentive arrangements and associated reporting obligations -- see GMS Flash Alert 2021-188 (30 June 2021). In the latter eBrief, Revenue released the new Employers Share Award (ESA) return to be completed by employers and the information required; it had noted the Form ESA applies retrospectively for the 2020 tax year with a 31 August 2021 deadline for the 2020 tax year. And in the former, Revenue set out the updates made to the Revenue’s Share Scheme Manual in light of the new reporting requirements for unapproved share arrangements.
For subsequent years, the filing deadline will be 31 March following the year in question, which is in line with the filing deadline for other share scheme informational returns (such as the Forms RSS1, ESS1, and KEEP1).
WHY THIS MATTERS
The extension of the filing deadline provides employers with more time to complete the ESA return and file it with Revenue. This extension relieves the pressures of completing ESA returns over a busy summer period. Nonetheless, the period between release of the 2020 Form ESA and the filing deadline remains fairly short and collating all the information needed to complete the return within this timeframe may be challenging – consultation with a tax professional is advisable.
Failure to comply with this mandatory filing obligation can result in a monetary penalty.
1 See Revenue, “Extension of ESA Filing Deadline,” for further details.
The information contained in this newsletter was submitted by the KPMG International member firm in Ireland.
Connect with us
- Find office locations kpmg.findOfficeLocations
- Social media @ KPMG kpmg.socialMedia
Stay up to date with what matters to you
Gain access to personalized content based on your interests by signing up today
© 2023 KPMG, an Irish partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved.
For more detail about the structure of the KPMG global organisation please visit https://kpmg.com/governance.
GMS Flash Alert is a Global Mobility Services publication of the KPMG LLP Washington National Tax practice. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.