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Last update - 00:00 25/10/2006

Knesset backs bill granting tax subsidy on childcare expenses

By Zvi Zrahiya, Haaretz Correspondent

The Knesset plenum on Wednesday approved in a fifth preliminary reading a private bill calling for mothers to be exempt from taxes on expenses spent on childcare workers for children under the age of five.

MK Gideon Sa'ar, one of the bill's proponents, said it would encourage women to go out to work, thereby expanding the workforce and encouraging economic growth.

The bill proposes giving mothers a choice either of receiving credit points toward hiring childcare workers, or deducting from tax reports sums paid towards day care. The subsidies are expected to cost the government some NIS 1.5 billion a year.

The cabinet has supported the bill on the condition it be included in the legislative process. If an agreement is not reached in Knesset, a ministerial committee will be formed to legislate the government's stance.

The bill was highly criticized by some due to the fear it would lend support mostly to women in the higher echelons of society. Sa'ar promised that during the legislative process, the distribution of aid among the lower echelons would be greatly considered.

MKs Ruhama Avraham, Zahava Gal-On, Ori Ariel, Ronit Tirosh and Orit Noked also proposed the bill.

Plenum agrees in preliminary reading closing pubs at 2 A.M.
The plenum also agreed in a preliminary reading to a bill that would close pubs and restaurants selling liquor by 2 A.M.

The bill was proposed by MK Avraham and passed by a majority of 37-3, with one absention.

"The goal of the bill is to save lives," Avraham said. "As a mother, I must admit that I have a little rebellion at home, but it's better for our children to cry now than for us to cry later."

Avraham also said that during the legislative process, she would also do her utmost to prevent any of the economic harm to business and restaurants this bill could cause.

She said states where pubs are closed at night have seen a 50 percent decrease in instances of violence and more than a 20 percent decrease in road accidents.

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