Dáil Éireann Debate, Tuesday - 9 May 2023
345. Deputy Seán Canney asked the Minister for Housing, Local Government and Heritage the number of farmers who were successful in their applications to have their land dezoned in each local authority as part of the submission process for residential zoned land tax that closed on 1 January 2023, and for which decisions were issued at the start of April 2023; and if he will make a statement on the matter. [21590/23]
View answerThe Finance Act 2021 introduced Part 22A Residential Zoned Land Tax (RZLT) into the Taxes Consolidation Act 1997. The RZLT is designed to prompt residential development by landowners, including farmers, of land that is zoned for residential or mixed-use (including residential) purposes and that is serviced.
RZLT is an annual tax, calculated at a rate of 3% of the market value of the land within its scope. The tax will be due and payable from 2024 onwards in respect of land which fell within the scope of the tax on or before 1 January 2022. Where land is zoned or serviced after 1 January 2022, the tax will be first due in the third year after the year in which it comes within scope.
A draft RZLT map was published by each local authority on 1 November 2022. The purpose of the draft map was to allow landowners, including farmers, to see if their land is within the scope of the tax. If a landowner sees that their land is included on the draft map and believes that it should not be, they had the opportunity to make a submission to the local authority by 1 January 2023 seeking to have the map updated and their land removed from the map, or they could have sought to have their land rezoned.
The Department of Housing, Local Government and Heritage published guidelines in June 2022 to assist local authorities in identifying land in scope for the tax and assessing submissions. These guidelines provide clarity on servicing criteria which local authorities will have utilised in assessing submissions where landowners claim that land should not be liable to the tax due not having access to some or all services.
There were 1,687 submissions made to local authorities during the public display period for the draft maps challenging the inclusion of lands on the maps in respect of the criteria for being in scope, with 210 rezoning submissions received. Local authorities will have now considered the submissions received and made written determinations on whether the land should stay on the maps in respect of the criteria for being in scope, and where a landowner disagreed with the determination of the landowner, they were permitted to lodge an appeal with An Bord Pleanála by 1 May. If a landowner requested a rezoning of their land, the local authority would consider the request and, if appropriate, they would commence a variation procedure to alter the zoning of the land. This variation procedure, and the local authority’s decision on whether or not to commence one, is part of the normal zoning process as set out under Section 13 of the Planning and Development Act 2000.
Whilst Section 13 of the Planning and Development Act 2000 (as amended) provides that a planning authority may commence the process of variation of their development plan at any time, it was recommended within Circular NRUP 07/2022 that the process of reviewing all rezoning submissions received should be undertaken as a single, collective variation process after the current public notification period for the supplemental map ends on 1 June 2023. This approach will enable the full and cumulative assessment of the impact of all rezoning submissions received in relation to the publication of draft and supplemental maps on the proper planning and sustainable development of the area. A local authority may decide to provide a report on the rezoning submissions and the opinion of the Chief Executive in respect of those submissions received, to its Elected Members. As the public display period for supplemental maps is ongoing, local authorities have not concluded the process of cumulatively considering rezoning requests.
It is expected there will be greater clarity on the number of variations proposed to statutory land use plans after 1 June.
