What is the difference between PAYG Instalment Tax and PAYG Withholding Tax?

Discover an easy way to tell the difference between Pay As You Go Instalment (PAYGI) Tax and Pay As You Go Withholding (PAYGW) Tax in Australia.
Find out more about Pay As You Go Instalment Tax here: • What is Pay As You Go ...
Find out more about Pay As You Go Withholding Tax here: • What is Pay As You Go ...
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[@heroicwhisper]

Excellent description of the difference between the two types of taxes.

[@mark-and-trina]

Glad it was helpful!

[@nomyah]

Just out of curiosity. Will you pay this taxes at the same time or what ATO will decide for you? Thanks for answer.

[@mark-and-trina]

It can be the same time through your BAS returns.

[@TobiasTheWolf]

Do you have a video that explains how we as an employer actually pay the withholding tax for our employees?
I mean how do we do it?
Do we go to the ato office and give them a bunch of cash?

[@mark-and-trina]

You pay it through your BAS and IAS returns. You can either process the returns through software like Xero or you can log into your business' ATO portal and manually process each return. After processing, you should be able to pay by BPAY, bank transfer or something else. If you call the ATO they'll be able to provide more info.

[@kavoadakunimata20]

Thank you for sharing.
What about if you don't have employees? How do I pay tax from the sales of my products? I'm still learning Xero, is that all calculated in Xero?

[@mark-and-trina]

This video isn't about sales tax. Depending on what country you're from you may have to pay GST, VAT or some other sales tax on the sales you make.

[@cagricelik4937]

"Saves you from having to pay your entire year's tax obligations at the end of the financial year"
Why it "saves" us ? I would rather keep the money with me as long as I can so I can earn from it? Is there any other rationale in this ?
Thanks for the video. I really enjoy your content.

[@mark-and-trina]

Some people don't realise they'll get a big bill at the end of the year. So is saves them from bill shock.