Local Property Tax

Revenue launches 2022 Local Property Tax campaign

Local Property Tax

Published: Tue 21 Sep 2021, 10:03 AM

Last updated: Tue 21 Sep 2021, 11:16 AM

Over 1.4 million property owners are to be contacted directly in the coming weeks by Revenue as part of their 2022 Local Property Tax (LPT) campaign, which has just been launced.

All householders will be informed of the three actions they need to take in order to meet their LPT obligations for 2022, namely:

1. determine the market value of their property as at 1 November 2021

2. submit their LPT Return including their valuation by 7 November 2021

and

3. pay or make arrangements to pay their LPT Charge for 2022.

The next valuation date for LPT is 1 November 2021. Residential property owners, whose properties were liable to LPT from 2013 to 2021, have paid LPT based on their self-assessed valuations at 1 May 2013.

The new self-assessed valuation on 1 November 2021 will determine the LPT to be paid each year from 2022 to 2025. These obligations apply for all residential properties, including vacant properties, properties that were not liable to LPT from 2013 to 2021, and properties not yet registered with Revenue for LPT.

In order to assist householders in self-assessing the value of their properties, Revenue have provided an interactive valuation tool and detailed guidance on their website. This will provide an estimated average valuation band for residential properties in each area in a map format. Property owners can find their own area on the map by simply entering the property’s Eircode or location.

Ms Katie Clair, Principal Officer in Revenue’s Local Property Tax Branch, has encouraged property owners to start the self-assessment of their property’s value by using the interactive valuation tool.

Some of the key messages for property owners to consider are as follows:

The Finance (Local Property Tax) (Amendment) Act 2021 introduced a new structure for LPT from 2022 onwards, including a widening of the LPT valuation bands to take account of property price increases in the period 2013 to 2021.

The current LPT valuation period runs from 1 July 2013 to 31 December 2021, based on self-assessed property valuations as at 1 May 2013.

The next LPT valuation period will run from 1 January 2022 to 31 December 2025, based on self-assessed property valuations as at 1 November 2021. Property valuations on this date determine the LPT amount to be paid by property owners for each year of the next valuation period, that is, from 2022 to 2025.

Revenue is currently contacting approximately 140,000 property owners whose:

exemption from LPT for the current valuation period 2013 to 2021 inclusive will expire from 1 January 2022 onwards

property was ‘not liable’ for LPT for some or all years of the current valuation period (2013 to 2021 inclusive) but will become ‘liable’ for the new valuation period (2022 to 2025 inclusive)

payment of LPT has been deferred for some or all years of the current valuation period (2013 to 2021 inclusive).

The quickest and most straightforward way for property owners to complete and submit their LPT Return and payment arrangements is online via www.revenue.ie (myAccount, ROS or LPT online service). Other useful information sources for valuation guidance are also availabe on the Revenue website.

Online returns are mandatory for properties valued at greater than €1.75 million or for persons who are liable for LPT on more than one property.

Those who are eligible to apply for an exemption are still required to provide their self-assessed valuation and select the appropriate exemption category on their LPT Return.

Property owners can choose to pay their LPT Charge in a single payment or over the course of the year by phased payments (instalments).

Revenue has issued an estimate of the LPT liability for every residential property for 2022, which property owners can now view in their online property record.

This estimate is not based on an actual assessment of the valuation of the property.

The estimated LPT liability amount will be legally payable by property owners who do not submit an LPT Return, including their self-assessed valuation by 7 November 2021.

If property owners do not submit their LPT Return by 7 November 2021, Revenue will pursue the estimated LPT liability amount, as well as continuing to seek submission of the LPT Return and confirmation from the property owner of the value of their property.

Property owners may not qualify for a tax clearance certificate if they do not submit their LPT Return or if they do not pay their LPT Charge.

Key dates:

1 November 2021 – the self-assessed value of a property on this date will determine the LPT Charge to be paid for the years 2022 to 2025 inclusive.

7 November 2021 – the due date for submitting the LPT Return (online and paper) and for making arrangements to pay the LPT Charge for 2022.

January 2022 – the month from which payments of LPT for 2022 will commence for those opting to pay by deduction at source from salary, pension, certain Government payments or by making regular payments via an approved Payment Service Provider.

12 January 2022 – the latest date for paying in full by cash, cheque, credit card or debit card.

15 January 2022 – the date on which payments of LPT for 2022 will commence for those opting to pay by monthly direct debit.

21 March 2022 – the date on which payment of LPT due for 2022 will be debited from bank accounts for those opting to pay by an Annual Debit Instruction.