Should a Property Tax replace stamp duty?

Should a Property Tax replace stamp duty?

Should a Property Tax replace stamp duty?At the height of the boom the Government was raking in more than €100 million a month in Residential Stamp Duty but since then Stamp Duty takings have dropped by 92% and now the Government would be lucky to see €100 million in the pot for the whole of 2010.

When combined, residential and non-residential stamp duty yields now account for just 0.6% of total tax revenues so it is no surprise that their attention is now once more turning to the possible introduction of a property tax. Property tax would provide a more stable (and hopefully a more reasonable) stream of revenue and allow us to move away from the unreliable transaction tax of Stamp duty.

However this new “fairer” property tax is no… consolation for those who paid the full whack of 9% in the height of the boom and who now have an expensive home and a big mortgage.

Have your say

  • Should a Property Tax replace stamp duty?
There are 61 comments for this article
  1. FlexBrowne at 11:29 am

    When people buy houses they pay stamp duty, huge amounts of VAT in services and materials for that home. Why should they have to pay again? It’s ridiculous and typical of a right wing agenda that likes to screw the working and middle classes whilst ignoring obvious revenues collectable from those who can afford it. The concept of a flat rate is particulary nauseating given that some of us were not greedy. I do support water rates but based only on actual usage.

  2. uptherebels at 8:27 pm

    Of course a property tax should be brought in. It should have been done years ago. Same with water charges. How the hell does anyone think that you can have water for free? The property tax would provide useful funds for the government. Why does everyone in this country seem to want someone else to pay for everything? We all have to pay. May as well get used to it.

  3. Very fed up at 2:03 pm

    We bought a no. of houses as we thought property would be our pension. Yes, you could say we were greedy but I am not ashamed to say it was a mistake. Unfortunately, nobody ever knew what was around the corner. I would be categorized as ‘middle class’. But I can honestly say a property tax would be the straw that broke the camels back for me. People on the social welfare have approx E80 more than me p.w. once all of my bills, mortgage, taxes etc etc are paid.
    I’m sick to death of my hard earned money be thrown away. I watch women having babies, being housed with my tax money. I would love to start a family but I cannot afford it due to the times we are in.
    Everyone says the people who have the money should be paying the most – but what people do not realise is there are a portion of us in the ‘middle income earners’ who’s boyfriends, husbands, wives, partners have lost their jobs. So I am now supporting a partner and attempting to live off of one wage…. Due to my partner being self employed and as we own over 2 houses, he’s not entitled to any assistance. We have been lucky insofar as the houses are all let out. But if one was to become vacant, we’d go under fairly rapidly. In addition to this, even though I am not married to him and due to the fact we are living in the same house, the Revenue expect me to financially support him. But as we are not married, I am not entitled to his tax free allowances. Where is the justice for us ‘middle income earners’.
    If I look within one mile of where I am living, I know 4 social houses where the boyfriends moved in the day the girl and kids moved in?? They have a free house, he’s working, probably not paying taxes & they’re out most weekends. Here am I, up the road, in negative equity of e180k, living in the same housing estate, supporting a household on one wage, paying my taxes, law abiding and struggling to find the additional money for these taxes and charges.
    We need a major wake up call here in this Country – as one of the comments said above – I have never taken to the streets but I will if a property tax comes in. I do not think there is any fair way to bring this tax in. Lets be honest, those complete muppets we have up in the Dail will think they have thought up of a fair way but I could nearly bet my life that people like me will be hit again.
    In addition to this, these once off charges and then penalties, fines if you do not pay in time are just ridiculous.

  4. alan kennedy at 10:32 am

    noway! suer if it’s like €200 per year, and they pay me back all of the €28,000 i paid on stamp duty, thats fine>)

  5. Harry at 12:49 pm

    Of course we need a property tax, no doubt we will be told that it will be in the interest of social justice and the need to provide vital services to the, poor, the sick and the disadvantaged.

    But then, that is how politicians lie. Well politicians don’t lie, they just don’t tell the truth.

    Ireland’s GDP is very skewed because of the large number multi-nationals that route huge amounts of their revenue through Ireland to avail of low Irish corporate tax. For example Google have saved approx 2 Billion by routing its revenue through Ireland. Microsoft do something similar, they will sell you software from Ireland but the disks will be dispatched from Germany. Of course all these billions of revenue don’t remain in Ireland, they are repatriated to the parent company. Finna Fud and the goon party will tell us that Ireland is a low tax economy, it is, but only if you express the tax take as a percentage of GDP.

    But then, that is how politicians lie.

    The politicians and their lap dogs will also tell us that we need a property tax and that it is fair because other European countries also have a property tax. What the politicians will not tell you is that Irish politicians have the highest pay and expenses in Europe, remember that biffo earns more than the president of the USA. Did I say “earn”, sorry I meant to say “receives”.

    But then, that is how politicians lie.

    In the same vein you will never hear a politician tell you that the Netherlands, with a population of approx 16 million have only 150 members in the upper house of their parliament and 75 in the lower house. So why does Ireland need 166 members in the upper house and 60 in the lower house for out much smaller population. Isn’t it strange that you will never hear an Irish politician make that comparison?

    But then, that is how politicians lie.

    Finna Fud has consistently provided lots of tax avoidance mechanisms to the builders and their rich friends. When biffo was minister for finance he published a budget (can’t remember which year) in which he announced that he was closing the tax loop hole that allowed developers to avoid paying stamp duty on development land by entering into a contract to build houses on land while the land remained the property of the original land owner. To the best of my knowledge this was never signed into law.

    But then, that is how politicians lie.

    Similarly Finna Fud removed stamp duty for first time buyers on the pretense that it would help people get their first homes, however, if you were to buy a property for investment purposes then you can claim back the VAT component of a new build, almost 12% of the purchase price of the house AND the 21% VAT on legal fees and fit out costs. That’s a bigger refund than what the stamp duty would be. This what led to the Irish property bubble and subsequent collapse, not any “global downturn in the economy”.

    But then, that is how politicians lie.

    It is probably also worth looking at how this property tax will be operated. Lets examine how the bin tax was applied in Fingal. Initially it was “only €3” and we were told it’s not even the price of a pint and that “you only pay for what you throw out” and that the those on low income would not have to pay it. Then they increased it to €3.50, its only a 50 cent increase, that not much, but it was a 16% increase when inflation was only 2 or 3 %. Then they increased it again so people recycled more and we threw out even less, so they increased the bin tax again, and added a fixed charge, and removed the wavier for the low paid so that now there is a fixed charge of €120 and each black bin is €8. That’s an increase of 300% since the bin tax was introduced. In the same period of time my private sector pay only rose by 6%.

    But then, that is how politicians lie.

    Do you remember the 1983 residential property tax? The tax would have been only payable on homes valued over £80,000 (about €101,00). £80,000 for a house in 1983 was a very big house, and you would need to be very wealthy to afford to buy such a house. However when the tax was abolished in 1997 the threshold was still €101,000, what would you get for 100K in Dublin now. This is how creeping taxation works, this tax was aimed at the well off but as the value of property increases, more and more people fall into the tax net.

    But then, that is how politicians lie.

    We will be told that the reason is that there is a shortfall in revenue over expenditure but Finna Fud have spent 50 Billion euro bailing out the banks and the Galway tent set, yet biffo and clueless lenihan think that they can continue to dip into the pockets of ordinary people without any effect on the Irish economy.

    But then, that’s the biggest lie of all

  6. Pamela at 12:40 pm

    Property tax should not be brought in. The government squandered the €100 million a month they received from stamp duty so let them come up with the deficit. Cut their huge salaries, get rid of their astronimical expenses and stop the waste in the public sector. Leave the ordinary tax payer alone. We cannot pay for all their mess!

  7. Tom at 3:43 am

    As a US homeowner and taxpayer, I agree with Phoebe’s comments above. Do not allow the government tax camel to get his nose in the tent! Property taxes in the US are very regressive and often lead to elderly people on fixed incomes losing their homes as they can’t afford to pay the property taxes which are set at a percentage of the total value of the property. This is particularly dramatic when property price bubbles occur, as has occurred in both the US and Ireland in recent years. Furthermore, in addition to the insane property price increases, the percentage often rises at the whim of the local boards who are controlled more by the teachers and local government authority employees unions than they are by the voters. It is a very, very difficult and slow process to reverse their rate increases by the democratic process. In the meantime, they have often robbed you of much of your hard earned income. I would avoid instituting a property tax at all costs in Ireland…the politicians naturally will naturally want it as it will be guaranteed and prolific cash cow for them!

  8. Noel O’Reilly at 1:42 pm

    Only if the stamp duty already paid in refunded to the people who have paid stamp duty. In that way the playing field will be levelled.

  9. AV Watt at 4:54 pm

    Property tax should be introduced and stamp duty abolished completly. There should be no consideration for people with negative equity, would they pay more if the value of their property had gone up? I don’t think so!
    Why do people who make bad property investment decisions always want someone else to pay for their mistakes. This applies equally to greedy bankers, slimey developers and foolish buyers. There were plenty of houses to rent at the peak of the market and no one had a gun to any buyers head.

  10. Howard at 4:42 pm

    Here in America in the state of New Jersey we pay $10,000.00 per year property taxes. And it keeps going up every year. Don’t let them take your stamp duty. They will increase your taxes every year.

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  12. Mary Murray at 1:29 pm

    By all means let them introduce property tax. I would be delighted to pay annually if they refund the 22,000 euro I paid on stamp duty 5 years ago. No repayment…I will refuse to pay any property tax introduced. They can put me in jail!

  13. Austin Henry at 10:39 am

    I agree with the idea of there being a property tax, and I also thought that the comment made by Kilian Smith in relation to householders who paid huge stamp duty during the boom years (say 2000 to 2010) being allowed to off-set a percentage of that stamp duty against any new property tax is also relevent and would make the introduction of such a tax more palatable.

  14. V Finnegan at 8:23 am

    Having paid over 200k on stamp duty over the boom years, I think it’s a disgrace to guild the Lilly and enforce a property tax.

  15. pauline reid at 2:09 am

    At the height of the boom the Government was raking in more than €100 million a month in Residential Stamp Duty but since then Stamp Duty takings have dropped by 92% and now the Government would be lucky to see €100 million in the pot for the whole of 2010

    Really… awww my heart bleeds for them – what a loss for them – so now their mission is how they will make MOST PROFIT not what is best for the general public – (C’mon… property tax or stamp duty – which do you reckon they will go for) – who wants to risk buying in this climate of uncertainity (if they can get a mortgage from the bailed out banks that is) – no profit for the gov on stamp duty… and they know it… which is why IT WILL BE property tax… as, alas it will affect more people and more profit for them – my sympathies have to be with the victims in negative equity, (tg I am not in that catgory) whom I believe should be exempt from it (WHEN IT WILL DEFINITELY BE INRODUCED) – get a grip Ireland – don’t give in to these bullies – bullies get away with what they are allowed to… do not let them!

  16. Doug Ruddy at 1:17 am

    Once you buy your home ,That is it “No more to pay”.

  17. Doug Ruddy at 1:16 am

    Once you buy your home that should be it, NO MORE TO PAY.

  18. John at 11:33 pm

    STOP THE WASTE – STOP THE WASTE – STOP THE WASTE We are starting to act like turkeys at the Christmas party. From around Charlies time in office PERKS MERCS JUNKETS have stripped this country. I know from freinds working in Goverment that waste is/was rampant. Quangoes; commitee fees; false foreign travel, we need to a least halve the number and cost of TDs, their salaries, expenses etc. then maybe discuss taxes. The current crop did a bad job so they should go before they place more tax on the system

  19. kay at 10:22 pm

    The person who wrote “we get taxed through the hilt” – um, Ireland is massively under taxed in comparison to other countries. Personally I think there should be a property tax – irrespective of whether you paid stamp duty recently.

  20. Martin at 10:16 pm

    If a property tax is introduced as a wealth tax, then if it is to be fair, it should be based on the net value of the property (after mortgage) because this reflects the portion of the property owned. Maybe we can tax the bank for the bit they own!
    i.e if someone has a property worth €1,000,000 and a mortgage of €800,000, they only really own €200,000 worth of property. the bank holds the deeds for the rest.

  21. james at 10:12 pm

    We have just decided not to move to Ireland after the Anglo bailout fraud. FYI we had got as far as the solicitors… disgusting, unacceptable, collusion,
    are words that come to mind.. The Irish people need to take a long hard look at what their government just did..

  22. james at 10:01 pm

    I would suggest the horse has bolted and it may be too late to close the door… try closing those robbing banks…

  23. Greg at 9:41 pm

    A tax based on a persons assets, rather than their annual income is a very fair thing indeed – if the property is an asset, it should be taxed, but of course for many in Ireland, most property bought in the last 10 years, it is in fact a liability.

    To make this fair, it must be an equity tax.

    Two people living side by side, both earn the same salary, but one owns their house outright, the other has a huge mortgage, potentially higher than the value of the house. How can it be fair for both to pay the same tax? That’s crazy!

    Happily, an equity tax would neatly solve the problem for most of those who paid stamp duty recently, as they would not pay any equity taxes until they had some equity to tax.

    And whilst they are at it, an equity tax should not just include equity in property, but any form of equity, stocks & shares, cash, bonds, gold… accumulated wealth in whatever form it might be, should be taxed.

    If people truly cannot afford to pay the tax, e.g. older people, they should be allowed to defer the taxes, in which case they would accumulate with modest interest until such time as the property was sold or otherwise transferred ownership, at which time it would be paid as a large lump sum.

  24. colm at 8:50 pm

    i dont think i should haveto pay property tax on a property i have just paid over 20k on stamp duty on- this is the third time in 9 years i have paid stamp duty(2 house moves and missed out on the 1st time buyers cos it was before the rules were changed)therefore i will not pay any property tax!!no way

  25. John at 8:07 pm

    Before the government increases the tax burden further through tax hikes and new taxes such as the proposed new property tax, why don’t they show the same zeal for reducing government spending through eliminating waste, getting better value for money and closing off tax loopholes. I have no doubt that given the size of total state spending(50+bn per year), savings of at least 1-2% should be possible, which would save more than the property tax is likely to bring in.

    Of course, more efficient money management by the state, wouldn’t produce any benefits to the vested interests in the property sector(such as auctioneers/ valuers etc), who would benefit hugely from a property tax based on the value of the property.

  26. Andy at 6:16 pm

    No tks.

  27. liam o boye at 6:12 pm

    once they get you used to the idea they will keep pushing it up and its the same old story anyone who goes out to work supports the whole country including the politions its time make things simple if you dont put in the pot you dont take out the pot

  28. Steven at 5:39 pm

    If property tax is calculated correctly it will make pensioners living in large homes think about there needs to the size of the house they live. This will free up large family homes to families who need the space. However Stamp duty will have to be scrapped to encourage people to move.

  29. shane at 5:30 pm

    this tax is unfair and I for one will refuse to pay it. this would be the last straw for me and I would pack my kids up and get out of here I have paid 80,000 in stamp duty and I had to borrow this to buy the house this means that I have to pay back probably in the region of 150,000 so will the government take this into consideration of course not also what about the Elderly, you could have an elderly person in a big old house that is there life long family home and now be asked to pay a large tax bill each year while they might have no income. Ireland get a grip you can’t get blood from a stone.

  30. Jimmy Walsh at 5:23 pm

    No Property Tax
    I also live and pay Property Taxes in the States, but, when VAT tax was brought in the Irish government dropped Property Tax, is this a reversal on Governmet promises.
    If property taxes are brought in You can be sure Low income earners will lose their property or have to abandon them thats for sure

  31. james at 5:04 pm

    What difference does paying stamp make?

    You pay VRT when you buy a car you then pay an annual motor tax plus fuel duties every time you fill up.

    The idea that people do or should only pay tax on something once is completely false

  32. Marcus at 5:03 pm

    On of the main reason my wife and I would like to move to Ireland is because once you have paid for your land, that is it. Here in Switzerland we have one of the most ridiculous property tax laws; the government estimates the amount of income I could make, if I rented my house to someone else, even though I live in my house. This fictitious income is then added to my real income and puts me in a higher tax bracket. It is called “Der Eigenmietwert”. I never want to pay a government for my house and property again, once I have bought and paid for it.

    kind regards

    Marcus and Taylor

  33. June Gutkin at 5:03 pm

    No way, what about us oldies who are living on just a pension and now have to pay tax on their homes.

  34. susan fletcher at 5:00 pm

    Yet another way to fleece the general public. I thought that stealth taxes were only levied in other countries !!!! How much more of our money do these politicians want ? Shame that they don’t go after the people who created this financial crisis with the same enthusiasm . And as for using auctioneers to value OUR properties………..

  35. Brian Butterly at 4:46 pm

    Never introduce property tax. We are robbed enough as it is.

  36. TAO at 4:34 pm

    A property tax is a better, more stable option for the government and us than stamp duty, as long as it is calculated fairly. There in lies my concern!
    I think those who paid stamp duty on purchased homes from 2006 onwards should be not have to pay property taxes on their homes for five years. From the sixth year onwards they should pay the tax like everyone else.

  37. Dominic at 4:34 pm

    I agree that property tax is the best solution for a stable future income for the government, perhaps combined with a small fixed stamp duty for purchases. However, it should only kick-in when people buy a house, not for existing owners, this will allow people who have payed tens of thousands in recent years (myself included) to decide if and when they start paying it, let people know up-front how much they will pay on a future purchase rather than on something they bought years ago without this type of tax in mind, and mean that people who are retired are not burdened with a tax for a property they purchased possibly decades ago.

  38. Betty at 4:21 pm

    We’re being taxed to the hilt and the ordinary tax payer is bearing too much of the brunt as it is. No to the property tax!

  39. Phoebe at 4:11 pm

    I live in America but have many friends in Ireland and visit frequently. Here is my experience with property tax in America: We own a modest home valued at $174,000 and pay over $5,000 per year in property tax. Our property tax has increased every year and by all indications, will continue to do so. As the federal government becomes more and more strapped for cash, local government fills in the gap. They set our property value at whatever amount suits their current needs and the protest process is a joke. If you can’t pay the taxes, they take your property. We will have to pay this tax every year for as long as we own this property. I hope to live at least another 40 years. When I reach retirement age, I expect my earning potential will decrease as my property tax continues to increase. Is this what you want in Ireland? Be careful before you open the door to a yearly property tax.

  40. Paul at 4:08 pm

    Property tax should only kick in about 12 years after stamp duty has been paid on the property

  41. Samy at 4:06 pm

    If you take into consideration VAT, then we already pay 55-60% of income as taxes& social insurance. So what is the limit for taxation??? I cannot see it feasible to add another type of taxes though property tax by itself is not bad. But this had to be taken into account together with all types of taxes already paid. Please put in mind the more taxes are imposed the less people having residual money to spend. Therefore…another recission. We have already bought houses which is just worth 50% of what is being paid. If interests go up then we will be facing additional costs on mortgages that we are not currently feeling. If the government wants to introduce this, then it has to be at a scale that would target housed over cetain value and should not be at a flat rate applied on everyone.

  42. Tom Brophy at 4:04 pm

    I think a hybrid system is probably best with the stamp duty element at 1 or 2%. I don’t think that the past payment of a large stamp duty bill allows you to be exempted from property tax hereafter, but in the interests of fairness it does seem like we need some kind of graduated property tax credit to cover properties bought since 2005? 2000?

    Property tax should be based on the m2/yd2 and graduated. The initial band should be sufficiently generous that developers are not encouraged to build matchbox properties. If a property is extended beyond a defined band, the owner should not be hit with a bill for all of the property at the higher rate.

    Who gets the cash? I’d suggest the exchequer gets stamp duty and property tax goes to local government. It might help to improve the godawful levels of service they provide at the moment (No, you can’t have a litter bin for your estate. people will only use them!).

    Finally, @Caroline above, I’d suggest your ire is misdirected. I’d imagine that the total welfare fraud for the last 50 years is more than covered by the goings on in our banking and property circles for the last 5 years.

  43. Emma at 3:49 pm

    If a tax is established, I want the €89,600 that we paid in stamp duty back.

    Otherwise, it’s completely ludicrous and a sure vote-loser from anyone who paid over €10k in stamp duty.

  44. Noel at 3:48 pm

    I don’t think property tax is the way to go, my reason for saying this is because if the government can get this tax into the system it will only be the beginning TAXS ONLY EVER RISE. Once they are in the ordinary man will have no say.

    I have never been on a protest march in my life but if the government try to bring this in I will take to the streets in protest.

    It’s time Irish people stopped giving out and stand up and say” no more”

    Let the politicians from all parties earn their wages and stop expecting us to pay for there mistakes.

    Yours sincerely.

    Noel/Jacinta mc Mahon

  45. Fed Up at 3:37 pm

    Are these jokers crazy? For the fat cats (aka TD’s) that are proposing to implement yet another tax, sure I’ll pay, but only if:
    1) they return their state cars
    2) work 52 weeks per year and not just the 96 days the Dail sits (we’ll give them some holiday time, of course)
    3) return the €25K I paid in stamp duty a few years ago or be given its equivalent in credit should this money-making system be implemented
    4) forget Anglo – I never banked there and I’m sure most here didn’t either – so why are we and every other person in this country paying tax for their mistakes? It’s appalling and something generations will have to repay. An absolute joke.
    4) scrap the €160 tv license for the other jokers over at RTE – why do we even have to pay this? Don’t they get money from advertising? We pay cable tv bills that should be enough.
    I could go on, but like the other posters above have said – this country needs a wake up call and the jokers in charge only appear to be handling damage control in the worst way possible – they need to actually work a full year to figure this out competely.

  46. Alastair White at 3:26 pm

    Maybe we should all pay for services through property tax,but how is it to be applied?
    If it is a standard charge per household then I would be in agreement,if it is on the value of property then it discriminates against those who live in Dublin and who may have the same income as those who live in rural areas and this would be unfair.Also many people on low incomes live in more expensive proerties -so it should be based on income not property prices or it should be a standard charge.

  47. reeves at 3:23 pm

    Property taxation is criminal and must be stopped at all costs. Transfer (sales) taxes are bad enough, but to burden those who have worked hard to purchase homes for the sake of those who haven’t is backwards and communistic. Many senior citizens will be forced out of their homes if property taxes become the norm. When government strips from the people the basic incentive to improve their lives, government becomes the master, and is no different than the Nazi, communist, socialist and fascist governments of the past. Inalienable rights of the individual are what we all should be fighting for — not how to reduce the financiial problems of our governments. Tell government to spend less and get out of the private sector, and maybe they can balance their books as we do.

  48. Caroline at 3:22 pm

    In the effort of fairness and to stop these ridiculous once off payments, that frankly, I forget about – would the Government not be better off reviewing the tax brackets/tax allowances we are currently on. I find it easier to manage my finances when my month end salary is reduced. Between car tax, insurance, renewals of household insurance, NPPR payments, medical insurance, tax returns – I am sick to death of these once off payments eating into my monthly pay. I know we are all supposed to manage our finances for these months – but living in the real world its hard to keep track of everything along with ad hoc expenses that arise.
    On a seperate note, maybe if they cracked down on the criminals thieving from the Social Welfare system and gave them more than Community Service for their dishonesty, I would actually consider staying in this Country. But at this very point in time, I am looking to get the hell out of here. Why am I stuck paying off someone else’s debts when I’ve enough of my own?

  49. Dragutin at 3:22 pm

    I would not have a problem with the tax property, as long as the government fully refunds the Stamp Duty. I would also go along as to say that it would be proper that an appropriate interest is applied to the Stamp Duty sum, as no one would loan me any money without interest.

  50. Jonathan at 3:21 pm

    I think a property tax is a much better way of collecting tax instead of a fluctuating stamp duty revenue. However people who are in negative equity because of poor weak government policies should not have to pay it until their proerties are no longer in negative equity.

  51. Peter at 3:09 pm

    I would love to get the 46K i spent on stamp Duty 3 years ago….. 🙁

  52. Stephen at 3:02 pm

    Absolutely. There is no doubt that a universal property tax is a much better idea than Stamp Duty. However it has to be introduced in a fair and equitable way. You cant expect people who are in negative equity and who have paid thousands in stamp duty recently to pay straight away.

  53. francis at 3:00 pm

    Now that the government is need of revenue a hybrid approach will be appropriate. A property Tax on annual basis and stamp duty when there is transaction. It will also stem any property speculation in the near future and allow home prices to normalize.
    This is my sincere opinion.

  54. Paula at 2:58 pm

    I would be appalled to have to pay a property tax having paid an enormous stamp duty fee when I bought my property in 2004. I would imagine some sort of clawback in terms of the stamp duty already paid would have to be adjusted against any tax charged, as it is unfair and unbalanced to double tax some property owners in the form of stamp duty and a further tax on a property that has already been subjected to taxation.

  55. Ciaran, Belgium at 2:57 pm

    Here in Belgium, like most EU countries except Ireland, we have both stamp duty equivalent taxes on property transactions AND an annual property tax. The latter is related to the size of the property with no account taken of income as far as I am aware (I have certainly never been asked about my ability to pay during the 13 years since I bought my house). For my rather large property (approx 300 sq metres), the tax is more than € 1500 per year. I fear this is the future for Ireland.

  56. Jenny at 2:57 pm

    Never. We’re paying enough tax to keep the big boys comfortable.
    It’s ridiculous.

  57. Frankie at 2:55 pm

    If a property tax does replace stamp duty then everyone that has paid stamp duty for their property should be exempt as they have already paid their dues. But of course this will not be the case in this backward country. I for one will refuse to pay another tax on top of a tax I have already paid.

  58. Edel Williams at 2:53 pm

    The days of the 9% stamp duty should be relegated to the history books. However, introducing a property tax system has to be done fairly with the ‘ability to pay’ of everyone in mind. Presently, a lot of households are finding it hard to meet their commitments and this ‘stealth tax’ will be another burden on already overburdened households. There is no doubt however, that the government needs to replace the lost revenue of stamp duty, I just don’t know how they can calculate this fairly taking into account each householders ability to pay, whilst also considering the amount of people now collecting social welfare. Perhaps this is a decision which should be referred for a year at least…

  59. CeeCee at 2:51 pm

    I’ve no problem paying a property tax….if the governement refunds the 11k I gave then a few years ago…

  60. Kilian Smith at 2:47 pm

    the property tax is a very attractive option for the goverenment to generate some cahs. however, concessions must be given to those of us who have already paid a large stamp duty. For example, we sghould be exempt from property tax for each €1000 paid in stamp duty.

    Also, it has been suggested that estate agents will do the evaluations. These are the leeches who contributed to the high property prices during the boom. they should not be allow to benefit from a forced property tax.

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