Dáil Éireann Debate, Thursday - 25 May 2023
175. Deputy Pearse Doherty asked the Minister for Housing, Local Government and Heritage if he is aware of individuals who have unsuccessfully applied for their land, with respect to land that is being actively farmed, to be re/de-zoned from residential zoning but have been unsuccessful, and are now subject to the residential zoned land tax; and if he will make a statement on the matter. [25427/23]
View answerIt is important to note that, to fall within the scope of Residential Zoned Land Tax, farmland must be both zoned for residential use and be serviced or have access to services such that residential development may take place. Farmland that is zoned for residential use, but which is not currently serviced, is not within the scope of the tax and will only come within the scope of the tax should the land become serviced at some point in the future.
Land will be considered to be serviced for the purposes of the tax where it is reasonable to consider that the land has access to, or may be connected to, public infrastructure and facilities, including roads and footpaths, public lighting, foul sewer drainage, surface water drainage and water supply, necessary for dwellings to be developed on the land and with sufficient service capacity available for such development.
Agricultural land which is zoned solely or primarily for residential use and is serviced meets the criteria set out within the legislation and therefore falls within the scope of the tax. Agricultural land that is zoned for a mixture of uses including residential and is being actively farmed is not in scope as farming is a trade or profession benefitting from an exemption in the legislation within mixed use zonings.
These residential zonings, which form part of the development plan or local area plan adopted by elected members following public consultation, are considered to reflect the housing need set out within the core strategy for the relevant local authority area and landowners within such zonings may fall within the scope of the tax, in the interests of ensuring an appropriate supply of housing on zoned lands.
Owners of land identified on the draft maps published on 01 November 2022 had the opportunity to make a submission challenging the criteria for inclusion of their land as being within scope for the tax and/or to request a change in zoning from the relevant planning authority to remove them from the scope of the tax. Such zoning requests are considered by the planning authority having regard to national, regional and local policy, including the need to ensure sufficient land is zoned to meet housing need.
Supplemental maps were published on 1 May 2023 by certain local authorities where additional lands have been identified as being in scope, further to the publication of the draft maps. Landowners may make submissions to the relevant local authority in respect of lands included on the supplemental maps by 1 June 2023. Certain local authorities have issued decisions to landowners on rezoning requests received during the public display period for the draft map while others are awaiting the conclusion of the supplemental map public display period in order to consider all rezoning requests together.
The consideration of the rezoning requests is solely a matter for the respective planning authorities based on planning policy and the contents of rezoning requests made under S.653I of the Taxes Consolidation Act 1997. Section 30 of the Planning and Development Act 2000 (as amended) precludes me from commenting on individual decisions in this regard. Neither the Planning and Development Act 2000 nor the Taxes Consolidation Act 1997 provide an appeal mechanism in relation to zoning requests.
The appeal provisions involving An Bord Pleanála as set out within the Taxes Consolidation Act 1997 (as amended) relating to the Residential Zoned Land Tax in respect of the identification of lands in scope relate only to submissions made on the basis that lands do not meet the criteria for falling into scope. Further to the finalisation of the mapping process, the legislation also provides the taxpayer with recourse to the Tax Appeals Commission where they disagree with an assessment to Residential Zoned Land Tax raised in respect of their land; should that disagreement relate to the market value of the land in question, the appeal will instead be considered by the Land Values Reference Committee.
It is further noted that a planning authority may decide at any time to vary the adopted development plan, subject to the requirement any such variation is consistent with national and regional planning policy. Elected members may, under section 13 of the Planning and Development Act 2000 (as amended) make a resolution to request that the Chief Executive commences a variation process.
It is acknowledged that the tax will impact on landowners, however if the land in question is zoned for a particular purpose under a plan adopted by the local authority and has been subject to investment by the local authority and the State in the services necessary to enable development for housing to accommodate increased population, it is intended that the land should be used for housing. This tax measure is a key pillar of the Government’s response to address the urgent need to increase housing supply in suitable locations.
