You pay the wage tax/national insurance contributions you usually withhold from your employee's wages to the Tax and Customs Administration. In essence, the employee pays this amount. However, as the employer you bear the costs of the wage tax/national insurance contributions on some forms of wages, pursuant to what is referred to as the final levy. The wages on which you pay the final levy are not part of the employee's wages and are not specified on the employee's payslip or annual income statement. Consequently, the final levy wage is not part of the aggregate income for the employee's income tax. The employee may not offset the final levy you pay on this component of the wages against the employee's income tax/national insurance contributions.