In a statement on the website, LandlordsOnline, the group said that many landlords were enticed to enter the Rental Accomodation Scheme (RAS) with their local authority on foot of promises which included an exemption from the annual NPPR charge (currently €200).
They said: “Given that RAS provides for a reduced market rent in return for a guaranteed continuity of payments, the exemption was a major factor in many landlords deciding to enter the scheme.
“However, all landlords within the Scheme will soon receive notification that the exemption has been removed by Section 19 of the Local Government (Household Charge) Act 2011 and the full charge will now apply on the liability date which is 31st March 2012. Don’t forget, the annual €100 houshold charge is also payable in addition to the NPPR charge so that’s €300 per unit per annum. In other words around €600 P/A in earned income before tax.
“Given that many landlords entered RAS in reliance of the NPPR exemption we do wonder what the relevant government department is thinking when they behave in this way.”
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