Dáil Éireann Debate, Thursday - 6 February 2014
118. Deputy Michael Healy-Rae asked the Minister for the Environment, Community and Local Government if he will review the decision where local authorities are asked to collect rates at a reduced rate from businesses that are actually closed down; and if he will make a statement on the matter. [6007/14]
View answerThe Local Government Act 1946 provides that where a property in a county council or urban local authority area is unoccupied on the date of the making of the rate the owner becomes liable for payment of rates. However, the owner is entitled to a 100% refund if the property is vacant for specified purposes. These are where the premises are unoccupied for the purpose of the execution of additions, alterations or repairs; where the owner is bona fide unable to obtain a suitable tenant at a reasonable rent; and where the premises are vacant pending redevelopment.
The collection of rates and the determination of eligibility for a refund in this context are matters for each individual local authority. A small number of urban local authorities have historically had separate legal provision enabling a refund of 50% of rates on vacant properties. While the same criteria for refunds apply, 50% of the rates paid is refundable to the owner of vacant premises in the cities of Dublin, Limerick and Cork. The majority of local authorities are, currently, subject to the provisions of the 1946 Act and the 100% refund regime.
The Local Government Reform Act 2014 provides for a change to rating law in relation to the refund of rates on vacant properties. It provides discretion to the elected members of individual local authorities to vary the level of rates refunds that apply in individual electoral districts within the authority’s administrative area. The timing of the commencement of this provision is currently being considered in the context of the timetable for commencement of provisions in the Act generally.
