Dáil Éireann Debate, Tuesday - 4 March 2014
29. Deputy Brendan Ryan asked the Minister for Finance if he will provide an update on the recommendation of the Thornhill Group for local property tax paid in respect of a rented property to be tax deductible in a similar manner to commercial rates; when this recommendation is likely to be implemented; and if he will make a statement on the matter. [10421/14]
View answerAs I have indicated on many previous occasions, the Government has in principle accepted the recommendation of the Thornhill Group (that the Local Property Tax paid in respect of a rented property should be deductible for income tax or corporation tax purposes, in a similar manner to commercial rates) but has not considered the manner or the timing in which this will happen. Any such change would have to be provided for by primary legislation.
Allowing LPT as a deductible expense would, in all likelihood, reduce the yield from the tax. In making decisions in this regard, regard will have to be had to the net impact on the public finances given the significant current budgetary constraints.
