Complete guide to PAYE tax in Zambia (2024/25)

# Complete guide to PAYE tax in Zambia (2024/25) Pay As You Earn (PAYE) is a system of collecting income tax from employees at source. In Zambia, the Zambia Revenue Authority (ZRA) sets the tax bands annually. ## 2024/2025 Tax Bands For the current fiscal year, the tax-free threshold has been increased to provide relief to low-income earners. | Income Band (Monthly) | Tax Rate | | :--- | :--- | | First K5,100 | 0% | | Next K2,000 | 20% | | Next K2,100 | 30% | | Above K9,200 | 37% | ## How to Calculate Your PAYE To calculate your PAYE, you subtract the tax-free threshold from your gross income and apply the relevant rates to the remaining balances in each band. ### Example Calculation If you earn K10,000: 1. First K5,100: K0 tax 2. Next K2,000 (K5,101 to K7,100): 20% of K2,000 = K400 3. Next K2,100 (K7,101 to K9,200): 30% of K2,100 = K630 4. Balance K800 (Above K9,200): 37% of K800 = K296 **Total PAYE = K1,326** Use our [PAYE Calculator](/calculators/tax/paye) to get an accurate breakdown of your take-home pay.