Answer to Question #97912 in Finance for Jane Lee

Question

How to calculate PAYG W'hold ?

Answer 1

Calculating the PAYG withhold

We need to explain how the calculation of PAYG withhold

Answer:

Actually We have two kinds of PAYG withholding

In the calculations of these, there is a small difference.

1) Standard PAYG Withholding

2).No Australian Business Number (ABN) PAYG Withholding

1) Standard PAYG Withholding :

$$Withholding \space Amount = Round \space (Document \space Amount \times Rate)$$

2). No Australian Business Number (ABN) PAYG Withholding

$Withholding \space Amount = Truncate (Truncate (Document Amount) \times Rate )$