Dáil Éireann Debate, Tuesday - 9 May 2023
347. Deputy Seán Canney asked the Minister for Housing, Local Government and Heritage if he will confirm that the residential zoned land tax does not apply to lands that are zoned phase 2 in local area plans; and if he will make a statement on the matter. [21592/23]
View answerThe Residential Zoned Land Tax (RZLT), a key commitment under Housing for All, is a new tax which was established in Finance Act 2021. It is designed to activate all land which is zoned for residential and mixed use, including residential purposes and have benefitted from investment in servicing or which are able to connect to services for housing. The tax is a key pillar of the Government’s response to address the urgent need to increase housing supply in suitable locations.
The Department of Finance leads on its implementation with the involvement of my Department, the Revenue Commissioners and the 31 local authorities. In this regard, my Department published section 28 Guidelines for Planning Authorities on the Residential Zoned Land Tax on 29 June 2022, which provided guidance on identifying the land which is in scope for the tax. A copy of the Guidelines can be accessed on my Department’s website at the following link: www.gov.ie/en/publication/fbc41-residential-zoned-land-tax-guidelines-for-planning-authorities/
Exemptions from the tax are contained within S.653B of the Taxes Consolidation Act 1997 (as amended) relating to, for example, land needed for community and infrastructural requirements; while land which is affected by its physical condition such that it is unable to be developed due to significant contamination or known historic remains is not liable, in addition to lands which have an infrastructural constraint. The legislative provisions do not include exemptions relating to phase 2 lands within development plans or local area plans and if such lands are zoned and serviced (within the meaning set out in the legislation), they are in scope.
The Department of Finance and my Department are currently considering a range of matters raised, including the issue raised in the Question, through the ongoing map publication and submission process.
Further details with regard to the RZLT, including a full description of the submission process and milestones, can be accessed at the following link: www.gov.ie/en/publication/fbad0-residential-zoned-land-tax/
