PAYG Instalments

Pay As You Go (PAYG) instalments is a system for paying instalments during the year towards your expected tax liability on your business and investment income. Your actual tax liability is worked out at the end of the income year when the ATO assesses your tax return, and any PAYG instalments paid will be credited against your assessment. This will work out if you are entitled to a refund or if you still have a tax liability.