asked the Minister for Finance the reviews which have taken place regarding (a) the recent substantial increase in the purchase price of houses, (b) the increase in the rates of householders' salaries regarding the implementation of the property tax; and if he will make a statement on the matter.
Written Answers. - House Prices.
69.
I have been advised by the Revenue Commissioners that the residential property tax legislation provides for an annual revision of both the market value exemption limit and the household income exemption limit. These revisions are based respectively on the trends in private new house prices index compiled by the Department of the Environment, and on the all items consumer price index compiled by the Central Statistics Office. The exemption limit, as revised each year since the inception of the tax, are shown in the following table:
|
Valuation date 5 April |
Market value exemption limit |
Household income exemption limit |
|
£ |
£ |
|
|
1983 |
65,000 |
20,000 |
|
1984 |
65,622 |
22,030 |
|
1985 |
66,491 |
23,395 |
|
1986 |
68,728 |
24,468 |
|
1987 |
69,971 |
25,307 |
|
1988 |
74,321 |
25,795 |
The next valuation date on which the market value of houses is to be considered in connection with this tax is 5 April 1989, when the value of his house, as returned by an assessable person, should reflect any recent increase in the market value. However, the amounts of the market value exemption limit and the household income exemption limit for that date cannot be stated as data in connection with the relevant indices are not yet available.