Dáil Éireann Debate, Tuesday - 16 April 2013
345. Deputy Brendan Griffin asked the Minister for Finance if he will introduce an incentive package to enable ghost estates to be finished by providing tax exemptions to buyers; and if he will make a statement on the matter. [17493/13]
View answerI have no plans to introduce such a package as described by the Deputy. I would point out that the Finance (Local Property Tax) Act 2012, as amended, provides for an exemption from the Local Property Tax for the first valuation period, up to the end of 2016, for new and previously unused properties that are purchased from a builder or developer between 1 January 2013 and 31 October 2016.
I would note also that Budget and Finance Act 2012 introduced a relief from CGT on the disposal of certain property to restore some confidence and to renew activity in the construction, development and property sectors. The property is required to be bought during the “incentive period” from 7 December 2011 to 31 December 2013 and must be held for seven years. The relief applies to all property, whether residential or non-residential.
The relief does not apply if a property is sold within seven years of its acquisition. If it is sold more than seven years after acquisition and a gain is made on the sale, relief will be given for the initial seven year holding period. For example, if the property was bought in January 2012 and sold in January 2022, the property would have been held for ten years, so seven tenths of any gain will be relieved from CGT and three tenths is taxable.
