Course Overview

In this session, we delve into the theoretical foundations of Pay As You Earn (PAYE), an essential payroll statutory requirement in many countries. PAYE is a system where employers deduct income tax directly from an employee’s salary and remit it to the tax authority on behalf of the employee. This method ensures that tax is collected at the source, simplifying the process for both employees and the government. Understanding PAYE is crucial for employers, payroll officers, and accountants, as it involves calculating tax rates accurately, staying compliant with tax laws, and making timely payments to avoid penalties.

The session covers the principles behind PAYE—from determining taxable income and understanding tax bands to recognizing allowable deductions. Attendees will learn about the role of PAYE in government revenue collection, the impact on take-home pay, and how payroll software aids in automating these calculations. By mastering PAYE theory, you’ll gain the foundation needed to handle payroll with confidence and ensure legal compliance.