Marriage and family

Maternity Benefit and tax: what is taxed and how Revenue collects it

Written by PAYEWise editorial team, plain-English tax writers working from Revenue sources. Tax review: pending appointment of a named tax-qualified reviewer. Reviewed 28 October 2026.

Quick answer

Maternity Benefit from the Department of Social Protection is liable to but not to or . Revenue does not tax the benefit through your payslip; instead it reduces your and for the year by the tax due, and your employer applies the reduced figures to whatever they pay you. If your employer tops up your pay, only the employer's part is taxed through payroll. The same rules apply to Paternity, Parent's, Adoptive and Health and Safety Benefit.

What you will notice

Your Tax Credit Certificate changes when the benefit starts: lower credits and a lower cut-off point.
If your employer pays nothing during leave, there may be no payslip at all and the tax is settled at year end.
If you earn under the tax threshold for the year, the credit reduction may still leave you paying no tax.

At year end

Request a . If credits were reduced by more than the tax actually due, you get a ; if the benefit was not fully taxed, a small underpayment is collected by reducing next year's credits.

Pitfalls

Do not declare Maternity Benefit as other income on your return; Revenue already has it from the Department.
Employer top-ups paid as a lump sum before leave can be taxed at 40% in that month and corrected over the year.

This is independent guidance, not advice from Revenue. Revenue decides your position. You can review any year for free in myAccount.

Sources and review

R38Taxation of maternity, adoptive, and health and safety benefitsofficialchecked 2026-10-28

Last reviewed 2026-10-28 (awaiting sign-off by a named tax-qualified reviewer). Every factual tax rule on this page is backed by a dated Revenue source. Spotted an error? Use the contact page.

Reviewed 2026-10-28. Figures use 2026 rules unless a year is stated.

What you will notice

Your Tax Credit Certificate changes when the benefit starts: lower credits and a lower cut-off point.

If your employer pays nothing during leave, there may be no payslip at all and the tax is settled at year end.

If you earn under the tax threshold for the year, the credit reduction may still leave you paying no tax.

Pitfalls

Do not declare Maternity Benefit as other income on your return; Revenue already has it from the Department.

Employer top-ups paid as a lump sum before leave can be taxed at 40% in that month and corrected over the year.

This is independent guidance, not advice from Revenue. Revenue decides your position. You can review any year for free in myAccount.

Sources and review

R38Taxation of maternity, adoptive, and health and safety benefitsofficialchecked 2026-10-28

Last reviewed 2026-10-28 (awaiting sign-off by a named tax-qualified reviewer). Every factual tax rule on this page is backed by a dated Revenue source. Spotted an error? Use the contact page.

Maternity Benefit and tax: what is taxed and how Revenue collects it

What you will notice

At year end

Pitfalls

Related

Maternity Benefit and tax: what is taxed and how Revenue collects it

What you will notice

At year end

Pitfalls

Related