Richard Bruton (Dublin North Central, Fine Gael)
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Question 226: To ask the Minister for Social and Family Affairs if persons paying tax under the PAYE system receive relief in respect of social insurance and health levy in pension contributions which they make; and if this applies to AVCs. [39861/06]

Séamus Brennan (Dublin South, Fianna Fail)
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Social welfare legislation provides for PRSI refunds to be made on contributions to a personal retirement savings account (PRSA) or a retirement annuity contract (RAC) where the contributions are paid by an employed contributor i.e. an employee, or a self-employed worker who pays income tax through the PAYE system i.e. a proprietary director.

In relation to additional voluntary contribution (AVC) to an occupational pension scheme, where the pension contributions are allowable as a deduction for income tax, a refund will also be due.

In each case PRSI refunds are only made where relief has not already been granted through the payroll. The refunds apply to both the social insurance and the health contribution elements of PRSI.

These provisions are effective on pension contributions made since 1st January 2003 and are provided for under Section 38 of the Social Welfare (Consolidation) Act, 2005, and in the Social Welfare Regulations (S.I. No. 698 of 2003).

Pat Carey (Dublin North West, Fianna Fail)
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Question 227: To ask the Minister for Social and Family Affairs the reason participants on community employment schemes can not avail of family income supplement; and if he will make a statement on the matter. [39763/06]

Séamus Brennan (Dublin South, Fianna Fail)
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Family income supplement (FIS) is designed to provide cash support for employees on low earnings with families. This preserves the incentive to remain in employment in circumstances where the employee might only be marginally better off than if he or she were unemployed and claiming other social welfare payments. FIS is paid on a weekly basis over a period of 52 weeks, taking into account a family's net earnings and the number of children under aged 18 or aged between 18 and 22 years and in full time education.

CE is a publicly funded employment and training programme with the specific objective of progressing the long-term unemployed and other disadvantaged people from social welfare dependency towards employment in the open labour market.

FIS is designed to encourage people to take up or remain in full-time work in the open labour market in circumstances where dependency on social welfare alone may otherwise appear attractive. Extension of entitlement to people engaged in community employment would not be consistent with these policy objectives.