TAXATION OF MATERNITY, ADOPTIVE AND HEALTH & SAFETY BENEFIT

From July 1st 2013, Maternity, Adoptive and  Health & Safety benefit will be taxable in full.

However Universal Social Charge (USC) and PRSI will not apply.

A Maternity Benefit recipient who pays their tax through the PAYE system will have their annual tax credits and cut off point reduced by the Maternity Benefit amount which will result in additional tax being stopped from any employment/ non DSP pension they have.

Employers will be advised of the adjusted tax credits and cut off points on employer tax credit certificates (P2Cs).

Illness Benefit will continue to be included with earnings and taxed accordingly.