ERR 2026: Why Excel is Now a"Red Flag" for Revenue
The "Service for Compliance" grace period is over. Revenue is now using ERR data to trigger real-time interventions. If your Excel sheet doesn't match your bank transfer to the day, you are flagged.
1. The "Grace Period" is Over
Why 2026 is the year of no excuses
When Enhanced Reporting Requirements (ERR) were introduced in January 2024, Revenue adopted a "Service for Compliance" approach. They understood businesses needed time to adapt. Mistakes were treated as learning opportunities.
Full enforcement began in January 2025. We are now in year two—that safety net is long gone.
Revenue's systems have matured. Their analytics can now cross-reference your ERR submissions against bank transfers, payroll records, and historical patterns in real-time. Discrepancies that would have been overlooked during the grace period now generate automatic flags for review.
ERR Enforcement Timeline
Revenue launches Enhanced Reporting Requirements with "Service for Compliance" grace period.
Revenue focused on education and guidance. Grace period extended through end of 2024.
Grace period ends. Revenue begins using ERR data for real-time interventions and audits.
Second year of full enforcement. Automated systems flag discrepancies immediately.
2. The "On or Before" Rule: Why Manual Fails
The timing requirement that catches Excel users
The ERR Rule
You must report the expense to Revenue on or before the date you pay the employee.
The Excel Problem
The Expense.ie Solution
Our system tracks every expense with correct classification, so when you're ready to file with Revenue, your ERR export is accurate and complete.
3. The "Vouched vs. Unvouched" Trap
The classification that Revenue scrutinises most
Revenue requires you to split travel expenses into specific sub-categories. The distinction between vouched (receipted) and unvouched (flat-rate) expenses is critical for tax treatment.
In Excel, employees often mix these up in one column called "Expenses" or "Travel". This is exactly what triggers an audit.
Common Excel Mistake
If you report Civil Service Mileage (unvouched) as 'Vouched Travel' in 2026, you are inviting an audit. Revenue's systems specifically look for this mismatch.
Our system detects this difference automatically and prevents incorrect classification.