PAYE Taxpayers
PAYE stands for Pay As You Earn and is the name given to the tax system for employees in Ireland. It was introduced on 6 October 1960. PAYE operates by facilitating your employer to pay the tax due on your income to Revenue as you earn it. Accordingly, when you receive your pay at the end of the week or month, your tax has already been paid to Revenue. There are approximately 2 million PAYE taxpayers in Ireland.
To find out more read the ITI’s guides to Understanding Your Taxes
If you run your own business or trade and are not employed by someone else, then you are self-employed and you do not come within the PAYE system for the income from that trade or business. That income will be taxed under “self-assessment”. For more on self-assessment click here to go to the Business section of our Tax Advice.