Does Maternity Pay Get Taxed?

Statutory Maternity Pay and Enhanced Maternity Pay are taxable. You will pay tax once your income exceeds your personal allowance.

How much tax do they take off maternity pay?

An EI maternity/parental leave benefit recipient, with no other income in the tax year, would have to pay 15% of their benefit amount in taxes. Under this example, these two proposals would mean that a family could receive a tax exemption or tax credit of up to $4,214.

Is tax deducted from statutory maternity pay?

SMP is treated as earnings so your employer will take off income tax and NI contributions. Your employer may also make other deductions that would be made from your pay such as trade union subscriptions and pension contributions.