Terms of endearment # 5

PAYG Withholding: Pay As You Go Withholding is what was once called Group Tax and is the amount that must be withheld from employee's wages or salaries and sent to the ATO via the BAS.

At the end of the financial year what were once called Group Certificates have now been replaced by PAYG Payment Summaries. Each employee's gross income, and the amount withheld in tax, is recorded along with other information such as allowances, Reportable FBT amounts and Lump Sum Payments.

PAYG Instalments: Pay As You Go Instalments are amounts of tax payable for individuals who are not on wages or salaries and for companies or superannuation funds. It allows payment of tax ahead of time to be credited on a person or entity's tax return.