Dáil Éireann Debate, Thursday - 16 June 2022
51. Deputy Steven Matthews asked the Minister for Finance his views on the introduction of a vacant property tax; if further research on this matter will be carried out by his Department following the completed assessment of the local property tax returns; and if he will make a statement on the matter. [31300/22]
Amharc ar fhreagra63. Deputy David Stanton asked the Minister for Finance his views on the possible introduction of a vacant property tax; and if he will make a statement on the matter. [31075/22]
Amharc ar fhreagra69. Deputy Thomas Gould asked the Minister for Finance if he will provide an update on the collection of vacancy data by the Revenue Commissioners. [29649/22]
Amharc ar fhreagra80. Deputy David Stanton asked the Minister for Finance if he has received reports on the possible introduction of a vacant property tax; the scale and impact of same; and if he will make a statement on the matter. [31076/22]
Amharc ar fhreagra83. Deputy Pádraig O'Sullivan asked the Minister for Finance the status of plans to introduce a vacant property tax as per the commitment in the Housing for All strategy; and if he will make a statement on the matter. [31281/22]
Amharc ar fhreagraI propose to take Questions Nos. 51, 63, 69, 80 and 83 together.
The Government’s strategy ‘Housing For All’ includes an action for my Department to collect data on vacancy with a view to introducing a Vacant Property Tax. The timeframe for delivery on this commitment is the second quarter of 2022. The Finance (Local Property Tax) (Amendment) Act 2021 enabled Revenue to collect certain information in relation to the occupancy status of residential properties including, where unoccupied, the duration and reason for this, in the Local Property Tax (LPT) return forms submitted by residential property owners in respect of the new LPT valuation period 2022-2025. This information, together with information from other available sources, will be used to assess the merits and impact of introducing a Vacant Property Tax.
In considering the case for such a tax, it is important to have a sound understanding of the quantity, locations and characteristics of long-term vacant properties. It is also essential to identify the reasons for vacancy, and whether this is long or short-term in nature. There may be genuine and acceptable reasons for vacancy such as refurbishment work, the temporary absence of the owner for medical reasons or pending the grant of probate for a deceased person’s estate.
The LPT returns included questions such as whether a property is vacant, the reasons for the vacancy and if the period of vacancy exceeds 12 months. It should be noted that LPT applies only to habitable residential properties, and derelict or uninhabitable properties are not captured under the LPT system.
Revenue have completed a preliminary analysis of the LPT returns received to date which has been shared with my Department. The results of the preliminary analysis suggest that levels of vacancy are low across all counties. The Minister for Finance will be considering this issue in consultation with colleagues before reverting to Government with proposals on the appropriate response. I understand Revenue intends to publish a profile of the occupancy data from the LPT returns shortly.
Addressing vacancy and dereliction, and maximising the use of the existing housing stock, is a priority objective of the Government, as evidenced in the Housing for All strategy where one of the four pathways in the plan is specifically dedicated to this area.
