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Business in Brief
EMPLOYERS across Limerick need to change the mileage rates the pay on on employee expenses.
This is according to the Association of Chartered Certified Accountants, who warn that the maximum rate of employee mileage expenses has been reduced - and businesses could end up paying more in tax, interests and penalties should they stick to the old system.
Aidan Clifford, ACCA's Advisory Services Manager, said "It is common for small businesses to pay the maximum allowable amount per kilometre for business travel, but an employee doing 6,000 business kilometres a year will run up an additional PAYE bill of around €1,000 if the old rates were to be incorrectly applied."
At the moment, employers are entitled to reimburse work-related staff motoring costs at what the civil service deem to be a maximum tax free rate. This is approved by Revenue - and while any amount below this rate is acceptable, anything over this rate will count as a taxable benefit.
Up until 4 March 2009 the maximum amount allowed was 78 cent per kilometre. But since the mini budget this year, this has been reduced to 59 cent, a 25 per cent reduction. Accountants are reporting that most of their client are not aware of the change and may be exposed to additional tax, interest and penalties when the matter comes to the Revenues attention.
Mr Clifford added "Revenue did announce the reduction and the Minister for Finance noted it at the time of the mini budget, but many businesses did not get the link between reducing civil service travel expenses by 25 per cent and the reduction in the maximum allowable expenses that could be paid in the private sector."
Women in Business
THE Limerick City and County Enterprise Boards are teaming up to present a special 'Women in Business' networking event with Dragons Den judge Gavin Duffy.
Former RTE journalist Mr Duffy, now a leading business and communications skills coach, will be at the Woodlands House Hotel in Adare on the evening of Tuesday, September 8.
He will present a "highly practical and pragmatic, intensive, insightful and interactive evening workshop" entitled 'Get ready for the Recovery'.
Some of the topics the founder of Dorland will be answering include 'What the hell has actually happened to the economy?', 'The Need to Adapt or Die' and 'Defining the new GOAL for your Business'.
He will also discuss how delegates should network to their full potential.
For more information on the event, which gets under way at 6pm in Adare, contact 061-312611.
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Weather for Limerick
Wednesday 08 February 2012
Today
Light rain
Temperature: 7 C to 9 C
Wind Speed: 22 mph
Wind direction: South east
Tomorrow
Light rain
Temperature: 8 C to 11 C
Wind Speed: 14 mph
Wind direction: South
