Business News

Property tax increases postponed until 2019

Property tax will not rise before 2019 after the Cabinet signed off on legislation that will allow valuations made in 2013 to stand for three more years.

It was originally envisaged that homeowners would have to update the valuation that they provided when the tax was introduced by November 1 next year.

However, the Local Property Tax (LPT) legislation is to be amended to push this deadline back until 2019.

The Government agreed to the move, which was first signalled by Finance Minister Michael Noonan on Budget Day, during their Cabinet meeting yesterday.

Changes to the legislation come on foot of a report by former civil servant Dr Don Thornhill.

Other measures to be introduced before Christmas include an exemption from LPT for homes damaged by pyrite and reliefs on properties occupied by people with disabilities.

Dr Thornhill’s report also suggested a new system whereby a minimum level of LPT revenues in each local authority area would be determined by Government, ideally having regard to the historic yield in each local authority.

This in turn would allow for the estimation of LPT rates for each local authority area. Local authorities could adjust this rate upwards by a factor of up to 15pc.

Article Source:

< Back to Business News