Dáil Éireann debate -
Tuesday, 11 Mar 1997

Vol. 476 No. 2

Written Answers. - Social Welfare Payments.

Mary Wallace

Question:

64 Miss M. Wallace asked the Minister for Finance if all child payments by the Department of Social Welfare are tax free and thereby not included in any family tax assessment, including child benefits and child dependant payments; and if the carer's allowance is tax free and thereby not included on any family tax assessment basis. [6688/97]

Minister for Finance (Mr. Quinn)

I am informed by the Revenue Commissioners that the child dependant additions paid with most Social Welfare payments are subject to taxation where the basic payment is liable to taxation. However, as part of the introduction of taxation of unemployment benefit, disability benefit and injury benefit, the child dependant additions payable with these benefits have been exempt from tax since 6 April 1995.

Where the Social Welfare basic payment is not liable to taxation neither, of course, are the child dependant additions, e.g. unemployment assistance, supplementary welfare allowance. Child benefit and also family income supplement, which varies with family size and employment income level, are not subject to taxation. I am also informed that the carer's allowance is taxable.