Ireland’s Enhanced Reporting Requirements (ERR) mandate that employers in Ireland report nontaxable payments made to employees and directors in real-time. The ERR has applied since 1 January 2024 and requires reporting by employers across three specific categories of payments:
Revenue has formally escalated its enforcement of ERR submissions since the start of 2026, making it a core component of standard PAYE risk assessments.
Revenue is actively using advanced data analytics to cross-reference real-time ERR submissions against payroll records, corporate tax filings and VAT returns. As a result, Revenue has begun issuing Level 1 Revenue Intervention notifications (Revenue audits) to employers for ERR noncompliance. A Level 1 intervention is a formal compliance action, which must be addressed promptly and carefully. Where issues are not resolved within the timelines specified by Revenue, there is a clear risk of escalation.
To mitigate audit exposure, it is critical that all qualifying employee benefits and expenses are reported digitally on or before the date of payment. Revenue is currently reviewing historical transactions dating back to the introduction of ERR on 1 January 2024.
Affected employers should consider the following action steps:
Mark Hynes
BDO in Ireland
- Tax-free travel and subsistence payments (vouched and unvouched);
- Small benefit exemption items (up to two tax-free vouchers or gifts totalling no more than EUR 1,500 per year); and
- The remote working daily allowance (up to EUR 3.20 per day).
Revenue has formally escalated its enforcement of ERR submissions since the start of 2026, making it a core component of standard PAYE risk assessments.
Revenue is actively using advanced data analytics to cross-reference real-time ERR submissions against payroll records, corporate tax filings and VAT returns. As a result, Revenue has begun issuing Level 1 Revenue Intervention notifications (Revenue audits) to employers for ERR noncompliance. A Level 1 intervention is a formal compliance action, which must be addressed promptly and carefully. Where issues are not resolved within the timelines specified by Revenue, there is a clear risk of escalation.
BDO Perspective
To mitigate audit exposure, it is critical that all qualifying employee benefits and expenses are reported digitally on or before the date of payment. Revenue is currently reviewing historical transactions dating back to the introduction of ERR on 1 January 2024.Affected employers should consider the following action steps:
- Confirm that ERR submissions are accurate and complete.
- Ensure all submissions meet Revenue’s data, schema and validation requirements.
- Remediate any historic gaps promptly to reduce escalation risk.
- Establish a sustainable, real-time process for ongoing ERR compliance.
Mark Hynes
BDO in Ireland