Labour taxes are a special form of collection of the tax on income. It is a central part of the Austrian tax system and affects about 78% of all Austrians. For that reason, the aim of this thesis is to discuss the characteristics of taxation on non-self-employed labour. In particular, it will be attempted to emphasize the most important legal regulations of the Einkommensteuergesetz concerning the pay-as-you-earn system applied by the employer and to summarize each step of the payroll accounting through this process. The second part of this thesis will focus on the attempt to define the tax declaration of the employee in a simple illustrated step-by-step overview. Finally, the possibilities of making demands on legal means will be argued in detail. The aim is to provide the reader a comprehensive explanation of the fiscal levels salaries and wages have to go through before reaching the employee.