What is PAYE Tax?
PAYE is an acronym Pay As You Earn. This tax is owed on most streams of income earned while a UK tax Resident. If you are in full time employment, then your employer will deduct this tax at source and you will receive a payslip as a summary of these deductions. If you are self employed and/or have other streams of income, you will need to declare this income to the government at tax year end and they will issue you with a PAYE tax bill you will need to pay.
