The Revenue Commissioners have received complaints about RTE stars being allowed to work as "self-employed" at the station.
The issue has really annoyed and upset the full-time staff, who cannot understand how anyone who works in RTE every day, does not broadcast for anyone else and uses their computers, offices and staff, is then permitted to be designated as working for themselves by the tax collector.
RTE employees feel the same so-called "freelance" broadcasters earn 95 per cent of their income from the national station and therefore should be put on staff and taxed from source.
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The issue was raised at union meetings in RTE throughout last week.
A couple of years ago, Revenue had a national clampdown on "contractors" working full-time in various businesses being classified as being self-employed and not on staff.
They specifically went after thousands of people in the IT and Media Sector but RTE seemed to be excluded.
It is understood the Revenue argument at the time was if you earned most of your money from the one source, and worked for them the bulk of the time then you should be classed as staff and taxed at source by the employer.
The RTE insider said: "People are upset that these stars are self-employed with their own companies but yet they don't really work for anyone else except RTE.
"They are allowed to claim tax benefits which the PAYE staff can not. They are not doing anything illegal but we feel it is wrong in many respects.
"The issue is causing a lot of resentment and has been for some time. We want everyone in here either in front of the screen or behind a mic to be on the staff in future. This issue has to be dealt with as part of the Minister's review."
The Revenue Commissioners said it is prohibited by law from commenting on the tax affairs of any individual or business.
But in a statement it said: "Revenue classifies and individual's employment status for income tax purposes between a contract of employment - known as a contract of service - and a contract entered into with a genuine self-employed individual known as a contract for service.
"In making this classification Revenue examines the fact patterns arising on a case by case basis and applies a range of tests set out in both case law and the Code of Practice on Determining Employment Status otherwise known as The Code which was published by the Minister for Social Protection in July, 2021.
"In order to apply these tests Revenue considers the contracts in place and reality of the engagement in each case. and this can sometimes give rise to complex issues which may take a significant amount of time to resolve.
"Where an individual is considered to be engaged under a contract of service, i.e. a contract of employment - income tax, USC, PRSI should be deducted from his or her employment income through their employer's payroll system.
"Where an individual is considered to be engaged under a contract for service i.e. as a self-employed individual , he or she will generally be obliged to register for self-assessment to pay preliminary tax and file their own income tax returns using the Revenue Online System.
"It should be borne in mind that the option to incorporate a business is open to all individuals; however at that point the business becomes a separate legal entity , distinct from the individual himself or herself and is liable to corporation tax on its taxable profits."
