Social Welfare Consolidation Act 2005 section 34A

Return of contributions — share-based remuneration

Section 34A allows the Minister to refund PRSI contributions that were paid on certain share-based payments and other specific forms of remuneration.

• PRSI contributions paid on share options, restricted stock units, and similar share-based gains may be refunded where the arrangement was contracted before 1 January 2011 but the gain arose during 2011.
• Contributions paid on forfeitable shares can be refunded where those shares are subsequently forfeited by the employee.
• Refunds also apply to employer PRSI paid on shares received by employees or directors in their employing company or its parent company.
• The Minister may make regulations setting out the application process for refunds, including procedures where the contributor has died.