FOR THE VAST, vast majority of Irish homeowners, the yearly property tax amounts to a mere 0.18 per cent of a property’s total value.
But for those of us unlucky enough to live in a mansion, there’s proportionally more to pay: in such cases, the tax is applied at the normal rate for the first million (pah!) and 0.25 per cent on anything over that amount.
So how much difference has that 0.07 per cent made to the State’s coffers since the controversial levy was introduced?
Well, you could have bought this with it…
Loreto Abbey, Rathfarnham — recently sold for €2.3 million [Savills.ie]
Finance Minister Michael Noonan confirmed the amount, answering a parliamentary question from Sinn Féin’s Pearse Doherty:
I am advised by the Revenue Commissioners that the most recent data published by them shows that about 0.2 per cent of properties have been valued for LPT purposes in excess of €1m on a self-assessment basis. On that basis, it is estimated that some €2.5m additional tax was collected for 2013 that is attributable to the 0.25 per cent rate on that part of the property valuations in excess of €1m.
Noonan says he expects the amount to be closer to €5m this year, as the 2013 tax only related to half-a-year.
Additionally, deferrals of the LPT were claimed on around 18,700 homes, while there have been around 28,300 claims for exemptions (1.2 per cent and 1.8 per cent of homes nationwide, respectively)
Doherty said the figures showed the tax was unfair, with “barely any deferrals or exemptions being applied” and repeated his party’s call for the levy to be scrapped.
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