Willie Penrose (Westmeath, Labour)
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Question 359: To ask the Minister for Finance if a person satisfies all the criteria to qualify for revenue job assist, from the perspective of the additional tax allowance, if he or she takes up employment with a partnership company; if the person will then qualify for the additional tax credits under the revenue job assist scheme once the job is not one of displacement; and if he will make a statement on the matter. [5362/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I am informed by the Revenue Commissioners that although an individual may be a qualifying individual and may have taken up a qualifying employment, the Revenue job assist allowance will not be available where the qualifying individual, or his or her employer, is benefiting or has benefited under an "employment scheme" in respect of that qualifying employment.

An "employment scheme" is defined as "a scheme or programme which provides for the payment in respect of an employment to an employer or an employee of a grant, subsidy or other such payment funded wholly or mainly, directly or indirectly, by the State or by any board established by statute or by any public or local authority".

County and city enterprise boards are empowered to provide employment grants to employers by virtue of the Industrial Development Act 1995 and therefore, an employee's entitlement to the Revenue job assist allowance will be dependent upon whether the partnership company is or was in receipt of any grant, subsidy or other such payment in respect of the employment.

Where the partnership company is or was in receipt of an employment grant, subsidy or other such payment from a county or city enterprise board in respect of the qualifying employment, the Revenue job assist is not available to the relevant employee in respect of that qualifying employment.

If the Deputy has a particular case in mind, I suggest he contact the Revenue Commissioners directly with the details so that a definitive reply in relation to that case may be published.

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 360: To ask the Minister for Finance his views on whether the 2% levy in respect of motor policy holders insurance should be terminated; and if he will make a statement on the matter. [5368/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The 2% levy is a stamp duty that is charged on most non-life insurance premiums and is part of the normal stamp duty system. The exceptions are re-insurance, voluntary health insurance, marine, aviation and transit insurance and export credit insurance. The purpose of the non-life levy is to broaden the stamp duty base while maintaining low direct tax rates.

It is a modest charge compared with other EU member states where similar charges vary between 9% and 50%. It is a significant source of revenue to the Exchequer across all relevant categories of insurance, which is demonstrated by the yield in recent years:

I have no plans to reduce or remove the levy.