The position is that most social welfare allowances, pensions and benefits, including the carer's allowance, awarded by the Department of Social Protection are taxable. The extent of tax due depends on the level of an individual's tax credits.
The following Department of Social Protection payments are taxable:
State Pension (Contributory);
State Pension (Non-Contributory);
State Pension (Transition);
**Occupational Injury Benefit;
**Interim Disability Benefit;
Death Benefit Pension;
Widow/er's or Surviving Civil Partner's (Contributory) Pension;
Widow/er's or Surviving Civil Partner's (Non-Contributory) Pension;
Deserted Wife's Benefit;
Deserted Wife's Allowance;
Prisoner's Wife's Allowance;
One-Parent Family Payment (Unmarried parent, Separated Spouse, Prisoner's Spouse);
Guardian's Payment (Contributory);
Guardian's Payment ( Non-Contributory);
+ Jobseeker's Benefit and Short-Term Enterprise Allowance (first €13 per week excluded);
Unemployability Supplement (payable with Disablement Pension);
Constant Attendance Allowance (payable with Disablement Pension).
When payable in the form of a pension rather than a once-off payment.
+ Jobseeker's Benefit paid to systematic short-term workers is exempt.
** Illness/Interim/Injury Benefit payable for the first 6 weeks of each year and any child dependent element of benefit is exempt from tax.