Charlie McConalogue (Donegal North East, Fianna Fail)
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Question 253: To ask the Minister for Social Protection the reason persons who are in receipt of a Northern Ireland child tax credit have this credit assessed as a payment for the purposes of calculating eligibility for child benefit top-up payments; how this is compatible with parents earning more that £60,000 being eligible for child benefit top-up payments from the Republic of Ireland; and if she will make a statement on the matter. [20705/11]

Joan Burton (Dublin West, Labour)
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Child benefit is classified as a family benefit under EU Regulations 883/04 and 987/09. These regulations govern entitlement and determine the competent authority to make payment.

A parent residing in the Republic and employed in Northern Ireland is entitled to the family benefits provided by Northern Ireland, which consist of child benefit and child tax credit. If the total amount paid is less than the Irish child benefit rate, a supplement child benefit payment is made, which is the difference between the total amount of family benefits payable in Northern Ireland and the Republic of Ireland.

UK child tax credits are awarded based on household income. The authorities in the United Kingdom have advised that from 1 April 2011, a household income of £41,300 or more will disqualify a person/couple from qualifying for child tax credits. Therefore, any child benefit claimant with an income of - or over - £41,300 automatically qualifies for the supplement from the Republic of Ireland and child benefit payments to those with income under that amount are calculated, as outlined above. Prior to 1 April 2011, the household income limit for UK child tax credits was £60,000.

The overall outcome of the above ensures that all children with an entitlement to Irish child benefit receive an equal level of payment, regardless of the source.