Peter Burke
Ceist:73. Deputy Peter Burke asked the Minister for Finance if an exemption from local property tax will be granted for a building (details supplied); and if he will make a statement on the matter. [3561/18]
Amharc ar fhreagraWednesday, 24 January 2018
Ceisteanna (73)
Freagraí scríofa
The Finance (Local Property Tax) Act 2012 (as amended) provides that any building or structure which is used as, or is suitable for use as a dwelling is liable to LPT. For LPT purposes, the state of dereliction of a property is not relevant where it (the property) is actually occupied as a dwelling house. However, a property that is uninhabitable to such an extent that it is not suitable for occupation (and not actually occupied) is not taxable.
The Act also provides for a number of exemptions from LPT where certain qualifying criteria are met. Specifically, Section 5(2) of the Act sets out the qualifying criteria in respect of property owners who are in long term care in a nursing home. The particular qualifying criteria requires that the property must have been occupied as the person’s sole or main residence and vacated due to his or her inability to continue living there because of infirmity. The nature and duration of the infirmity must also be independently verified and certified by a doctor.
Any property that qualified for the exemption on 1 May 2013 remains exempt for the duration of the current ‘valuation period’ (to 31 October 2019) provided that it is not occupied by any other person. A property that becomes eligible for the exemption on a date after 1 May 2013 only qualifies from the next ‘liability date’ (1 November) for the remainder of the ‘valuation period’, for example 1 November 2017 in respect of 2018 and 2019.
Revenue has confirmed to me that no LPT has been paid in respect of the property in question for the years 2012 (Household Charge) to 2018 and has been deferred. As a consequence of the deferral the liability has attached as a charge on the property and is accumulating interest at a rate of 4% per annum. From the information available to Revenue, the property has only relatively recently become vacant which means that the exemption can only apply with effect from 1 November 2017 in respect of 2018 and 2019 and the liabilities for the previous years (2012 to 2017) remain due. The deferred liabilities in respect of 2012 to 2017 would be paid when the property is sold or disposed of.
Revenue has confirmed that it will engage directly with a nominated representative of the person in question, including the Deputy’s office as appropriate, to clarify the person’s entitlement to the exemption and to agree a position in regard to any payable arrears. This could include a continuation of the deferral in respect of the relevant years i.e. 2012 to 2017 or a suitable payment arrangement that takes account of the person’s personal circumstances.