My IUPAC nomenclature isn't entirely crash-hot, so I'll give what I think is an unambiguous name that allows me to show the derivation of the common name of paracetamol: Para-acetylaminophenol. It's called acetaminophen (N-acetyl-para-aminophenol)in America. To quote my pharmacology lecturer, "'Paracetamol' must have been too easy for them." (for a similar language difference, see adrenaline and epinephrine, for an opposite language difference, see colour and color).
Graphically:

    /¯¯¯\
HO-<  O  >-NHC=O
    \___/    |
             CH3

That's a benzene ring, if the illustration is a little unclear.
Paracetamol is almost an NSAID, except that unlike most non-steroidal anti-inflammatory drugs it does not have an anti-inflammatory effect. The analgesic and antipyretic (anti-fever) effects of NSAIDs are exhibited by Paracetamol.

Paracetamol use is occasionally associated with a rash, but the more significant side effect is liver damage. Chronic use leads to damage, and a high dose in a short time leads to acute liver failure, which is not a fun way to die. This toxicity is due to a saturation of the enzymes which normally metabolise the drug. When these enzymes are all occupied, an alternative pathway is used. If glutathione is not available for this process then cell death occurs. As a result, the effects are sharp with increased dose - if you take less than enough to saturate the enzymes, no worries, but if you take more, bad things happen. The amount required for toxicity varies from person to person. As I am not a doctor, I will not offer advice on dosage.