Dáil Éireann Debate, Wednesday - 23 September 2020
107. Deputy Colm Burke asked the Minister for Housing, Local Government and Heritage if local authorities will be entitled to retain 100% of the local property tax in 2020 and 2021 as an emergency measure to ensure that revenue and services will be maintained during the Covid-19 pandemic; and if he will make a statement on the matter. [25935/20]
Amharc ar fhreagraThe Programme for Government – Our Shared Future, sets out a range of actions that relate to local authority funding. The Programme commits to bringing forward legislation for the Local Property Tax (LPT) on the basis of fairness and that most homeowners will face no increase. It also states that those counties with a lower LPT base will be adjusted via an annual national equalisation fund paid from the Exchequer.
My Department continues to assist local authorities with the financial challenges they are experiencing since the outbreak of the Covid-19 pandemic, including cash flow support by bringing forward payments where possible, in order to ensure that the services that local authorities deliver can be maintained. To this end, all of the LPT allocations for 2020, amounting to €516.8m in total have been paid to local authorities.
I can confirm that the LPT allocation process for 2021 is unchanged from recent years and that my Department has informed local authorities of their pre-variation LPT allocations for 2021, based on collection data provided by the Revenue Commissioners. This will ensure that local authority members, in line with their statutory responsibilities, can make informed decisions on LPT variation by the end of September deadline. I have no plans to revisit the allocation process for either 2020 or 2021 at this point.
