PAYE

PAYE is the tax your employer deducts from your salary and wages. It includes:

• the tax rate for your income, and
• an ACC earners' levy

What you need to do

Follow these steps to pay tax on your salary or wage income:

1. Give your IRD number to your employer or payer. If you don't have an IRD number, you need to complete an IRD number application - individual (IR595) form.
2. Complete a Tax code declaration (IR330) form, sign it and give it to your employer. Use the IRD's decision tree to work out your tax code.

If you have a student loan and you earn over the repayment threshold you'll need to use a student loan repayment code. Your employer will deduct your PAYE and your student loan repayments from your pay.