Childminding Grants and Tax

Childminding Development Grant (CMDG)

What is a Childminding Development Grant (CMDG)?

The CMDG is a small grant designed to assist existing and potential childminders to enhance the safety and quality of their childminding service.

What funding is available under the grant?

A grant of up to €1,000 is available to an eligible childminder. All childminders can apply for the full Childminding Development Grant every year. However, if the CMDG national budget is oversubscribed, an applicant may receive a lesser amount than applied for (see section on Oversubscription Procedure). Successful applicants are paid 75% of the grant in advance. Following submission and approval of the CMDG Expenditure Report and receipts for the full amount granted, the remaining 25% is paid to the childminder.

Who is eligible to apply for the funding?

All existing or potential childminders. Where a Childminder is subject to the Child Care Act 1991 (Early Years Services) Regulations 2016 and (Early Years Services) (Registrations of School Age) Regulations 2018, they must register their service with Tusla.

What supporting information/documentation must be submitted with the application form?

Fully completed application form co-signed by applicant and local City/County Childcare Committee.
Evidence of appropriate childminding insurance. (Submit a copy of the schedule of insurance, which must be in date).
Copy of Tusla Children First E-Learning Programme certificate (Must be dated within last 3 years).
Current Tax Clearance Certificate in applicant’s name (See FAQ section on how to access Tax Clearance Certificate).

What can the grant be used for?

The CMDG can be used to purchase items that enhance safety and quality in the childminding service. The final decision on eligible expenditure will be at the discretion of Sligo County Childcare Committee. The following list (which is not exhaustive) gives examples of the different types of costs that are eligible and ineligible for the grant. Please note that minor adaptations are ineligible expenditure for this grant. Ineligible expenditure also applies to a part payment for an item. Any item purchased must not cost more than the total awarded.

Eligible Expenditure (This is not an exhaustive list)

Outdoor Play Equipment: Sand box; water tray; swing sets, climbing frames, slides, outdoor play equipment, etc.

Toys & Books: Developmentally and culturally appropriate toys and books e.g., ride on toys; building blocks; books; dress-up; teddys/dolls/figurines; music; imaginative play items; jigsaws, board games; arts & crafts materials and supplies, etc.

Childcare & Safety Equipment: Pram; buggy; car seat; cot; high chair; child size table & chairs; stairgate; fire blanket; fire extinguisher; smoke alarm; socket covers; cupboard locks; first aid kit; blind cord safety clips, etc.

Supporting Inclusion: Sensory toys & equipment e.g., black out tent; theraputty; chewlery; weighted blanket; trikes & ride on toys; fidget toys; move and sit cushions, sensory garden, etc.

STEAM (Science/Technology/Engineering/Arts/Mathematics):

Science : Light box, microscope, télescope, etc.

Technology: Coding Kits; robot kit; robotic arms; snap electric circuits; cameras; hydraulics, etc.

Engineering: Toolbox; stem construction kit; Lego; Lego technic; magnets, etc.

Arts: Music & Literature; musical instruments; easels; painting tools and accessories; playdough & accessories; arts and crafts supplies; speakers; lights, etc.

Mathematics: Magnet tiles; IQ puzzle games; mathematic games; rubik’s cubes/tower; measuring equipment, etc.

Ineligible expenditure (This is not an exhaustive list)

· Minor adaptations or capital works such as outdoor surfacing, outdoor fencing, minor works to the house or outdoor area, painting, decorating, flooring etc.

· Trampolines; Bouncy Castles; Swimming Pool

· Subscriptions; memberships and registrations

· Baby walkers

· Travel cots and/or travel cot mattress

· Games consoles

· Second hand items

· Any items that would be considered for home use only and not childminding use e.g.

IT equipment; T.V etc.

· Insurance and/or other business expenses

· Training and Continuous Professional Development Courses

· Any item that costs more than the total grant awarded i.e., part-payment for an item.

See link below for CMDG 2023 application form, the CMDG guidelines 2023 and the FAQ’s 2023

Useful Resources

Childminders Tax Exemption

If you are a childminder you can avail of a tax exemption on this childminding income. Below are some criteria for the exemption:

Details of the Scheme

You must be registered to the Tax Office as Self-Employed.
The childminding service must be provided in your own home.
You may care for up to 3 children at any one time, excluding the childminders own children. You could, conceivably, mind 3 children in the morning and 3 different children in the afternoon to qualify.
The gross annual income for the childminding must not exceed the limit, which is currently set at €15,000 per annum. You could have any income from another source, and still avail of the exemption on their childminding income.
You must submit an annual return each year, and you must elect for the relief.
You must be notified to Fingal County Childcare Committee.
The income to which this tax relief applies remains liable for PRSI. Since childminders are self-employed there is no employer who can deduct the PRSI. When a person makes the election for the relief in their tax return, their names will be sent by Revenue to the Department of Social and Family Affairs. That Department will write to the people requesting payment of a flat rate of PRSI for the year, currently €500.

If a childminder does not apply for the Childminders Tax Exemption, or is earning over the current €15,000 gross threshold per annum, then the income is fully taxable. However, there is an entitlement to deduct a variety of expenses, which may be incurred whilst earning the income before tax is applied, i.e. toys, equipment, food etc.

For more information please contact the Fingal County Childcare Committee Office on (01) 4851727 or email info@fingalcountychildcare.ie. Additionally, you can click on the link below to visit Tax Exemption on Revenue.

Childcare Services Relief: http://www.revenue.ie/en/tax/it/reliefs/childcare-relief.html

Childminding Grants and Tax