Olwyn Enright (Laois-Offaly, Fine Gael)
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Question 63: To ask the Minister for Finance if childminders who avail of a new tax allowance introduced in budget 2005 will be entitled to make voluntary social insurance contributions in their own right; and if he will make a statement on the matter. [2694/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The childminding relief I introduced in budget 2006 allows an individual to mind up to three children in the minder's own home, without paying tax, PRSI or levies on the childminding earnings received, provided the amount is not more than €10,000 per annum. If childminding income exceeds €10,000, the total amount will be taxable, as normal, under self-assessment.

The new scheme is not a tax allowance, but is in fact an income disregard of €10,000. It automatically follows that the amount earned, once it does not exceed €10,000, is not assessable to tax or PRSI or levies and is thus exempt from tax, PRSI and levies. Any change to make the income subject to PRSI, either on a mandatory basis or in all circumstances on a voluntary basis, would require an amendment to the relevant social welfare legislation which would be a matter for the Minister for Social and Family Affairs to consider in the first instance.

John Perry (Sligo-Leitrim, Fine Gael)
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Question 64: To ask the Minister for Finance the breakdown for each county on the numbers of start up companies that availed of the business expansion scheme; the number of start up companies which are still in operation after five years of entering the scheme for each county; the success rate of this scheme; and if he will make a statement on the matter. [2701/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I am informed by the Revenue Commissioners that the relevant information available is an estimated breakdown by county of all companies approved for the business expansion scheme from April 1997. Corresponding information relating to companies approved for earlier years is not available, nor is a distinction between start up companies and existing companies. The information available is as set out in the following table.

The information is available on the basis of "bailiwick" meaning the jurisdiction or boundaries within which Revenue Sheriffs, County Registrars or their officers operate for the purposes of enforcement of tax debt. It equates geographically with "county". Companies are associated on the tax record with the county address of the head-office or branch with which contact is established for tax purposes, which may be different to the city or county addresses of other branches.

It is difficult to quantify the success rate of the BES scheme as many factors can contribute to the success of a company. Taking this into account, it is clear that this scheme has been of benefit to start up companies in Ireland. Small companies pursuing growth opportunities are still finding it difficult to attract equity funding particularly for amounts less than €250,000. The BES scheme is an important vehicle aimed at the level of the market which is at too early a stage of development for many venture capitalists and is still regarded as too risky for many investors. It is a valuable source of finance for companies that have exhausted the promoters' resources, other micro-finance options and family and friends as investors.

I would point out to the Deputy that the BES, along with the seed capital scheme, are due to end on 31 December 2006. Both of these schemes will be reviewed this year in advance of their termination date by my Department in conjunction with the Department of Enterprise, Trade and Employment and the Revenue Commissioners. I should be better positioned to comment on the success of the BES when the review of the scheme is complete.

Bernard Durkan (Kildare North, Fine Gael)
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Question 65: To ask the Minister for Finance if a person (details supplied) in County Kildare can claim tax relief for their child working off a C45; and if he will make a statement on the matter. [2746/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I have been advised by the Revenue Commissioners that the taxpayer may claim one parent family allowance. The relevant claim form OP1 has issued to the taxpayer and should be submitted with his annual tax return.