Francis Noel Duffy
Question:308. Deputy Francis Noel Duffy asked the Minister for Finance the status of the introduction of a vacant homes tax. [37109/22]
View answerTuesday, 12 July 2022
Questions (308)
Written answers
Addressing vacancy and dereliction, and maximising the use of the existing housing stock, is a priority objective of the Government. Housing for All includes a specific action for the Department of Finance to collect data on vacancy with a view to introducing a vacant property tax.
Provisions included in the Finance (Local Property Tax) (Amendment) Act 2021 enabled Revenue to collect certain information on vacant properties in the Local Property Tax return forms submitted by residential property owners in respect of the new LPT valuation period 2022-2025. A preliminary analysis of this data was published by Revenue on 6 July 2022, and is available at:
www.revenue.ie/en/corporate/information-about-revenue/statistics/local-property-tax/lpt-stats-2022/index.aspx. It should be noted that LPT applies only to habitable residential properties, and derelict or uninhabitable properties are not captured under the LPT system.
The preliminary analysis indicates that levels of vacancy among LPT liable properties are low across all counties and lie within a range that is considered to be in line with a normal functioning housing market. The analysis also indicates that many of the reasons are given for vacancy are genuine and acceptable and that the vacancy is temporary, for example, where a property is for sale, between lettings, undergoing refurbishment, where the property is subject to a probate application or other legal proceedings, holiday homes, or in cases where the owner is in long-term care.
The Revenue analysis provides a basis for my Department to assess the merits and impact of introducing a Vacant Property Tax, and how best such a tax might be designed. This work has already commenced and I intend to bring forward proposals on a targeted measure that achieves an appropriate balance between incentivising owners of vacant habitable residential properties to bring their properties back into use, and ensuring any such tax does not arbitrarily or excessively penalise home-owners in a discriminatory way.
Question No. 309 answered with Question No. 306.