Written answers

Wednesday, 27 January 2016

Department of Social Protection

Farm Assist Scheme

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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37. To ask the Tánaiste and Minister for Social Protection if she is considering giving credits to farmers who were in receipt of farm assist and who until 2008 were precluded from paying self-employed contributions; and if she will make a statement on the matter. [3332/16]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The farm assist scheme was introduced in 1999 to provide income support for low income farmers. It replaced the former smallholders’ unemployment assistance payment. In line with the then existing arrangements for unemployment assistance (including smallholders) and pre-retirement allowance, the income of farm assist recipients was exempt from class S PRSI for self-employed workers. Recipients of farm assist who had previously paid Class S social insurance had the option of paying voluntary contributions to maintain their social insurance record, provided they satisfied the qualifying conditions.

Since 1st January 2007, the exemption from class S PRSI has been removed and those receiving jobseeker’s allowance and farm assist are subject to Class S PRSI as self-employed contributors on their self-employed income, provided their annual income is €5,000 or more.

Currently PRSI credited contributions (credits) are only awarded to former employees, to cover gaps in social insurance where they are not in a position to pay PRSI such as during periods of unemployment, illness, etc. Self-employed workers do not qualify for credits.

Any proposal to award retrospective credits to farm assist recipients would have to be considered in the context of access to credits for all other categories of the self-employed and in the wider Budgetary context.

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