Property tax exemptions

RandomName2

Not sure if this is the right forum so feel free to move:

Does anybody know what exemptions will be in place in relation to the property tax?

I know that plans concerning personal positions concerning mortgages, stamp tax, etc. have been ruled out.

There has also been talk about older people being able to defer payment; for it to be taken up by their offspring (along with CGT, etc.)

But for Joe Soap is there anything to fall back on? Are there exemptions in terms of income, and if so, do they take assets into account?

Shifty

There are no reductions , waivers , exemptions etc for people on low incomes.

The payment of the LPT can be delayed or deferred if the house is your sole residence and your income is below a certain level. Note – Deferral will incur a 4% annual interest rate. (After 5 years – an LPT charge for 1 year of €45 will have interest of €99 added)

You can choose to defer the full amount of LPT if you are single and your gross income is below €15000 a year (€288 a week)

You can choose defer the full amount of LPT if you are part of a couple and your joint gross income is below €25000 a year (€480 a week)
So the majority of people on social welfare will probably be able to defer the payment.

You can opt to defer up to 50% of the LPT if you are single and your gross income is below €25,000 single (480 a week) /€35,000 couple . (673 a week)


The exemptions for the new Property Tax are very similar to those for the Household Charge – with a couple of extra ones to compensate home buyers for some of the the loss of mortgage tax relief

All owners of residential property will be liable (Not Tenants) – with the following properties being exempt:

A residential property that is used wholly as a dwelling and is liable to commercial rates is exempt.

A property that was formerly the sole or main residence of the owner but that has been vacated by its owner due to long-term mental or physical infirmity and where no other person occupies the property – is exempt

Registered nursing homes are also exempt.

Residential properties, that were constructed by a builder or developer but remain unsold and have not yet been used as dwellings are exempt

Residential properties that are owned by a charity or a public body and used to provide accommodation to persons with disabilities or the elderly to enable them to live in the
community are exempt ( A ‘‘charity’’ must be granted an exemption for tax purposes by the Revenue Commissioners to avail of this exemption.)

Houses in certain unfinished developments as prescribed by law are exempt. (A list will be published – and it will not be the same properties as in 2012)

New or previously unused properties that are purchased between 1 January 2013 and the end of 2016 will be exempt until the end of 2016

Second-hand properties purchased a) by someone who would have been eligible for Mortgage Interest Relief (prior to it being withdrawn from Dec 2012) and b) between 1 January 2013 and 31 December 2013 …..will be exempt until the end of 2016 .

Properties owned by Local Authorities or Social Housing providers will not be exempt unless it is provided to people with special housing needs such as the elderly or people with disabilities. Liability will rest with the local authority or social housing organisation as owner.

http://www.moneyguideireland.com/category/property-tax

Ogham

Shifty wrote: »

. Note – Deferral will incur a 4% annual interest rate. (After 5 years – an LPT charge for 1 year of €45 will have interest of €99 added)


http://www.moneyguideireland.com/category/property-tax

I think that €45 figure was a typo - looks like it has now been corrected on the source to €405 .

A Country Voice

Hiya, anyone know if the list of unfinished estates has been published yet? or when it might be published? I was on the list last time.

ACV

Shifty wrote: »

The exemptions for the new Property Tax are very similar ...........
Houses in certain unfinished developments as prescribed by law are exempt. (A list will be published – and it will not be the same properties as in 2012)



http://www.moneyguideireland.com/category/property-tax

A Country Voice

So, they're voting on it today, (Finance (Local Property Tax) Bill 2012.

It seems Phil will be making his list, (of unfinshed estates), and checking it twice

So to answer my own question of earlier in the thread "the list" doesn't exist yet.

Details below.

ACV

Taken from the Finance (Local Property Tax) Bill 2012 First stage, (there may have been amendments during later stages but they're not available yet as theyre only voting on the bill today.

10.—(1) In this section, “unfinished housing estate” means a
development of two or more buildings that is specified in a list prescribed,
under subsection (3), by the Minister for the Environment,
Community and Local Government for the purposes of this section.
40 (2) A residential property shall not, for the purposes of this Act,
be regarded as a relevant residential property where it is situated in
an unfinished housing estate.
(3) The Minister for the Environment, Community and Local
Government shall, for the purposes of this section, prescribe a list of
Unfinished housing estates, being developments each of which that
Minister is satisfied is incomplete to a substantial extent.
(4) For the purposes of the Minister for the Environment, Community
and Local Government satisfying himself or herself that a
development is incomplete to a substantial extent, the Minister shall
have regard to all relevant circumstances, including the following:
(a) the state of completion of roads, footpaths and public
lighting facilities in the development,
(b) the state of completion of piped water and sewerage facilities
within the development, 10
(c) the state of completion of open spaces or similar amenities
within the development,
(d) the extent to which the development complies with the
terms of any planning permission applicable to it,
(e) the extent to which the development complies with the 15
provisions of the Building Control Acts 1990 and 2007,
(f) the provisions of the Local Government (Sanitary
Services) Act 1964 as they pertain to dangerous places
and dangerous structures within the meaning of that Act,
(g) the extent to which roads, open spaces, car parks, sewers, 20
watermains, drains or other public facilities in the
development have been taken in charge by the local authority
concerned, and
(h) where there is an agreement with the local authority concerned
relating to the maintenance of roads, open spaces, 25
car parks, sewers, watermains, drains or other public
facilities in the development, the extent to which there
has been compliance with the conditions for maintenance
under the agreement.

bettyswollocks

Folks,

I know this has probably been discussed before, but what about a house that is uninhabitable, does that qualify for property tax? How does one define that? I mean if an old house has no central heating or hot water facilities for example, or are we talking about roof missing, no windows, does etc. I can see people getting very devious when it comes to evading the tax.

Also, I can think of another example that would be hard to quantify and collect tax on; what if you have a property that has squatters in it? I know of one near me, they also are not connected to the grid.

Thanks in advance.

donalg1

Some details here

http://www.revenue.ie/en/tax/lpt/index.html

169

In relation to post 6, a Local Authority can place such a property on the Derelict Site Register under the Derelict Sites Act 1990 and impose a 3% levy on the value of the property which is substantially higher than 0.18%

Scortho

bettyswollocks wrote: »

Folks,

I know this has probably been discussed before, but what about a house that is uninhabitable, does that qualify for property tax? How does one define that? I mean if an old house has no central heating or hot water facilities for example, or are we talking about roof missing, no windows, does etc. I can see people getting very devious when it comes to evading the tax.

Also, I can think of another example that would be hard to quantify and collect tax on; what if you have a property that has squatters in it? I know of one near me, they also are not connected to the grid.

Thanks in advance.

In another thread on this forum someone was saying it has to have no electricity or jacks!

On the squatters I'd say it'd be the owner of the property.

A Country Voice

http://www.environ.ie/en/Legislation/DevelopmentandHousing/Housing/FileDownLoad,32636,en.pdf

Theres the list of unfinished estates that Big Phil is giving an exemption to.

I was on it last time, (household charge), I'm not on it this time, (property tax).

I hope that after we have to pay the property tax the management company arent going to look for management fees aswell this year. I'm fu**ed if I'm paying twice anyway, and I'll pay revenue first out of fear of what they'd do to anyone that doesn't pay.

ACV

PaddyCar

damn it. Was classed as an unfinished estate for household charge but not on the list for property tax

pazza

Hi - anyone know why certain estates were removed. We have still more than half the houses on our road "unfinished" and no mgt company, roads not complete etc.!

lily09

stupid question but if your estate is on the list is it the whole estate, why are coordinates mentioned. just wondering because my estate is on the list, half is perfect the rest has no lights and pot holes so are some houses not included.

KevIRL

PaddyCar wrote: »

damn it. Was classed as an unfinished estate for household charge but not on the list for property tax

pazza wrote: »

Hi - anyone know why certain estates were removed. We have still more than half the houses on our road "unfinished" and no mgt company, roads not complete etc.!

Same situation. In my opinion it means the local authority now has an obligation to get involved in 'fixing' and 'improving' the estate, no more of this 'thats a private estate' claptrap.

Reading your posts has gotten me thinking, would some sort of organisation of unfinished estates be an idea? Does something exist already or are we all fighting our own individual battles with local and national authorites, developers etc. Would a strong unified voice help get our voice heard.

Ogham

lily09 wrote: »

stupid question but if your estate is on the list is it the whole estate, why are coordinates mentioned. just wondering because my estate is on the list, half is perfect the rest has no lights and pot holes so are some houses not included.

If there are co-ordinates shown in the last column - then it is a partially unfinished estate and some houses will be liable.

Better explanation here http://www.moneyguideireland.com/list-of-unfinished-estates-for-property-tax.html

snaps

So if your estate is now not on the list, does this mean the council are liable to provide a road surface and street lighting etc?

KevIRL

snaps wrote: »

So if your estate is now not on the list, does this mean the council are liable to provide a road surface and street lighting etc?

In my opinion they should be, but doubtless they will still try to hide the old excuse of 'private estate, not our issue'. While at the same time exerting zero pressure on developers to complete the estate.

We have been told by our local authority (Kilkenny CoCo) that they cannot do anything until 2016!

KevIRL

KevIRL wrote: »

Same situation. In my opinion it means the local authority now has an obligation to get involved in 'fixing' and 'improving' the estate, no more of this 'thats a private estate' claptrap.

Reading your posts has gotten me thinking, would some sort of organisation of unfinished estates be an idea? Does something exist already or are we all fighting our own individual battles with local and national authorites, developers etc. Would a strong unified voice help get our voice heard.

Following on from this I made a post on the Accommodation and Propery forum

http://www.boards.ie/vbulletin/showthread.php?t=2056908102

lily09

Ogham wrote: »

If there are co-ordinates shown in the last column - then it is a partially unfinished estate and some houses will be liable.

Better explanation here http://www.moneyguideireland.com/list-of-unfinished-estates-for-property-tax.html[/Quo



thanks a million for that, that link was great. unfortunatly is still as clear as mud, typed in all cordinates but am no wiser as all the houses are not on the map. hopefully more clarification will come,

nice_guy80

its called gouging people

KevIRL

To add insult to injury I received this charming one line email today from our local authority to inform me that our estate is not eligible for a maintenance grant for 2013

Below is the email in all its glory

Unfortunately your estate is not eligible for our Local Authority Estate management Grant!!

Thats exactly what was sent. So we are ‘finished’ when it comes to having to pay the property tax but we are ‘unfinished’ when it suits them and therefore not eligible for the same benefits as other estates

A Country Voice

KevIRL wrote: »

Same situation. In my opinion it means the local authority now has an obligation to get involved in 'fixing' and 'improving' the estate, no more of this 'thats a private estate' claptrap.

Reading your posts has gotten me thinking, would some sort of organisation of unfinished estates be an idea? Does something exist already or are we all fighting our own individual battles with local and national authorites, developers etc. Would a strong unified voice help get our voice heard.

Might be a good idea. The news of the list being published yesterday led to news reports and prime time coverage, but thats faded already and nobody will hear about unfinished estates again unless a "unified voice" makes some noise and tries to get attention for this problem.

ACV

snaps

You have to laugh at now they want you to pay a property tax for services. Some of these unfinished estates have heaps of earth/rubble, don't have street lights, tarmac and you even have to take your bin to the end of the road to be picked up. Shocking these are now not on the list. Until we start making a stand, we will just be walked all over by extra taxes. Enda seems to be swaning around the world getting pats on the back to what a shining example he is to the rest of the world for turning Ireland around. What exactly has he turned around here? How are things better now? From my prospective things are a lot worse than a year ago. The house 3 doors down is on daft for 95K, I know of a house at the entrance to the estate that was sold for 79k (No furnishing inside, but 100% finished) in the end last year, would that be the true value of your property now?

StillWaters

snaps wrote: »

Enda seems to be swaning around the world getting pats on the back to what a shining example he is to the rest of the world for turning Ireland around. What exactly has he turned around here? How are things better now?

the second year of positive economic growth perhaps?

keno-daytrader

StillWaters wrote: »

the second year of positive economic growth perhaps?

Enda, do you really think people give a fart about 0.10% growth when, they are getting bombarded with new taxes, austerity, paycuts, unemployment remains at almost 15% and hasnt moved since these pigs at the trough took office?

Wake up!

AlmightyCushion

keno-daytrader wrote: »

Enda, do you really think people give a fart about 0.10% growth when, they are getting bombarded with new taxes, austerity, paycuts, unemployment remains at almost 15% and hasnt moved since these pigs at the trough took office?

Wake up!

GDP growth in 2012 was actually 0.9% which is better than the mighty Germans who only managed 0.7% while the EU27 contracted by 0.3%.

Head The Wall

Are you trying to make a tenous assertion that Ireland is doing better than Germany with that comment?