Tax Relief - PRSI holiday for employers

The Taoiseach has announced an Employer Job (PRSI) Incentive Scheme to help employers create jobs and get people back to work.  The scheme is an exemption from employer's PRSI for 12 months on the employment of certain individuals.  The scheme may save employers in the region of €3,000 per individual. 


The measure is targeted at individuals that have been unemployed for six months or more as statistics have shown that people in this category are at greater risk of drifting into long-term unemployment and welfare dependency.  The scheme will apply to any new job created in 2010 and applications can be backdated to the beginning of the year. 

The key criteria for qualifying under the scheme :

• The employee concerned must have been on the Live-Register (Unemployed) for at least 6 months;
• The job must be full-time and must be new and additional – employers will not be allowed to substitute existing employees to avail of the scheme;
• The employer will be required to furnish an up-to-date Tax Clearance Certificate;
• Employers will be limited to a maximum participation rate of 5% of their existing workforce or, for smaller companies, a maximum of 5 new jobs;
• The job must last for 6 months or more. If it does not the PRSI exempt amounts will have to be repaid by the employer.

For more details contact us at info@andrewstax.ie