Householders will begin to receive property tax assessments next week. Those who don’t respond by the end of June will face stiff penalties.
Letters will be sent to the country’s 1.6 million householders in the coming weeks giving them six options for paying the local property tax. Property owners registered with Revenue’s electronic filing service, ROS will receive assessments by email and will need to check their email for notification.
Those liable for the tax will be obliged to indicate if they accept the Revenue’s valuation on the property or provide an alternative valuation which will be grouped into €50,000 bands.
Householders who don’t respond by the end of June will face immediate interest penalties and will ultimately have their tax deducted at source from their salary, pension or social welfare payments.
Officials from Revenue expect a compliance rate of 97 per cent when the full property tax collection system as up and running.
Last year, almost 75 per cent of householders paid the €100 household charge last year and the database assembled during that exercise will provide the basis for the Revenue collection.
Liable to penalties
Householders who do not accept the assessment of their property tax liability in the letter from Revenue will be entitled to submit a lower assessment, however, they will ultimately be liable to penalties if it is found to be too low.
The Revenue Commissioners will publish an electoral area survey of property values so that people can compare their own assessment with the general level of property valuations in their area.
The assessment from the Revenue will give householders a number of options for paying the tax. They can opt to have it deducted at source from their salary, pension or welfare payment.
Alternatively they can pay it directly to the tax authorities in one lump sum or in instalments spread over the year.
Self-employed people who do not respond to the assessment will not be entitled to a tax clearance certificate next year.
Interest penalties of 8 per cent will apply to people who do not pay and the Revenue will be entitled to deduct the tax and the penalties at source from salaries, welfare payments or bank accounts.