PAYE Modernisation
aka PMOD, Real-Time Payroll Reporting
Ireland's real-time payroll reporting regime, introduced by Revenue on 1 January 2019. Every payroll run must submit data to Revenue on or before the date employees are paid.
Last reviewed April 2026
Definition
PAYE Modernisation is the real-time payroll reporting regime introduced by the Revenue Commissioners on 1 January 2019. It replaced the legacy P30 monthly return and P35 annual reconciliation model. Under PAYE Modernisation, every employer must submit a Payroll Submission Request (PSR) to Revenue on or before the date employees are paid. The submission lists each employee, gross pay, income tax, PRSI, USC and any other statutory deductions. Revenue then issues Revenue Payroll Notifications (RPNs) which the payroll software pulls down before each run to apply the correct tax credits and rate bands per employee. Manual P30 monthly returns and end-of-year P60s no longer exist; the data Revenue holds is updated every pay cycle and employees can view their cumulative pay through their Revenue MyAccount. Since 1 January 2024, the regime also covers Employer Reporting Requirements (ERR) for non-cash benefits, travel and subsistence payments, which must be filed in real time alongside the PSR. Compliant payroll software is mandatory. Spreadsheets and bureau workarounds that do not submit PSRs and pull RPNs are not accepted by Revenue and will trigger penalties.
Why it matters for software choice
Late or missing PSRs trigger Revenue penalties and can hold up VAT or Corporation Tax refunds. Choosing payroll software that handles PSR submission and RPN retrieval automatically removes the largest operational risk in Irish payroll, especially for businesses paying weekly or fortnightly where the on-or-before deadline is tight.
Authority sources
- Revenue: PAYE Modernisation (www.revenue.ie)
- Revenue: Employer's Guide to PAYE (www.revenue.ie)
Software categories this affects
Vendors covered by this term
BrightPay
Award-winning Irish payroll with full PAYE Modernisation and Revenue integration
Collsoft Payroll
Irish payroll built for construction and mid-size businesses with RCT and CSO reporting
Thesaurus Payroll Manager
Ireland's most affordable PAYE-compliant payroll at just EUR 175 per year
Related terms
Auto-Enrolment (My Future Fund)
Ireland's workplace pension scheme, branded My Future Fund. Live since 1 January 2026, administered by NAERSA. Eligible employees aged 23 to 60 earning over EUR 20,000 are automatically enrolled, with contributions deducted at source by payroll software.
Relevant Contracts Tax (RCT)
A withholding tax that principal contractors deduct from payments to subcontractors in construction, forestry and meat-processing. Rates are set by Revenue at 0%, 20% or 35% based on the subcontractor's compliance record.