Property tax rates could be set for dramatic rise if re-evaluations proceed in 2019

Property tax rates could be set for dramatic rise if re-evaluations proceed in 2019

Homeowners in a number of areas of the country could see their property tax increase by up to 125% when the next re-evaluation takes place in 2019.

That’s according to a report in today’s Irish Times which claims the Government’s income from the tax could be set to increase from €463 million a year last year to €740 million in 2019 if the nationwide property price increase of 60% is applied.

Currently the rate at which homeowners pay property tax is based on the 2013 valuation of their homes. This was due to be re-evaluated in 2016 but the year before the then Minister for Finance Michael Noonan put the re-evaluation off until 2019.

This followed a recommendation in a report from former public servant Dr Don Thornhill that a revised system of assessing liabilities be introduced.

A new system has not, so far, been applied meaning as it stands the current re-evaluations are due to take place the year after next.

Those whose property prices have seen the largest increases could suffer as a result.

People in Cavan, for example, could see the rate at which they pay property tax jump by 125% from €90 to €225 based on the current valuations.

Read more on the areas affected in The Irish Times article here.

 

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