Here are some pointers to regulations in the UK: PAYE (Pay As You Earn) is the system that HM Revenue & Customs (HMRC) uses to collect Income Tax and National

Here are some pointers to regulations in the UK: PAYE (Pay As You Earn) is the system that HM Revenue & Customs (HMRC) uses to collect Income Tax and National Insurance contributions (NICs) from employees' pay as they earn it. The term 'employee' in this guide includes directors of limited companies. As an employer, you'll have to deduct tax and NICs from your employees' pay each pay period and pay Employer's Class 1 NICs if they earn above a certain threshold. You pay these amounts to HMRC monthly or quarterly. If you don't send the correct amount, or if you send it in late, you may have to pay interest. After the end of the tax year you must send HMRC an Employer Annual Return (form P35 and forms P14). Almost all employers are required to send this online. http://www.hmrc.gov.uk/paye/intro/basics.htm http://www.hmrc.gov.uk/paye/intro/basics.htm Employed or self-employed? A worker's employment status, that is whether they are employed or self-employed, is not a matter of choice. Whether someone is employed or self-employed depends upon the terms and conditions of the relevant engagement. The tax and National Insurance contributions (NICs) rules do, however, contain some special rules that apply to certain categories of worker in certain circumstances. See section on special cases. http://www.hmrc.gov.uk/employment-status/index.htm http://www.hmrc.gov.uk/employment-status/index.htm http://www.hmrc.gov.uk/leaflets/es-fs2.pdf http://www.hmrc.gov.uk/leaflets/es-fs2.pdf And here is the info for Ireland: Employer's Guide to PAYE http://www.revenue.ie/en/business/paye/guide/index.html http://www.revenue.ie/en/business/paye/guide/index.html Code of practice for determining employment or self-employment status of Individuals http://www.revenue.ie/en/tax/it/leaflets/code-of-practice-on-employment-status.pdf http://www.revenue.ie/en/tax/it/leaflets/code-of-practice-on...