Exemptions

Certain properties will be exempt from LPT. To claim an exemption you must complete your 2013 Return and indicate the exemption condition you satisfy.

IMPORTANT!

Under section 8 of the Finance (Local Property Tax) Act 2012 (as amended) any person who purchased a second hand property in 2013 and occupies it as a sole or main residence is entitled to an exemption from Local Property Tax (LPT). This exemption is not restricted to first time buyers. If you purchased a second hand property between 1 January 2013 and 1 November 2013 and qualify for this exemption, you can now claim the exemption online. Step-by-step instructions on how to claim the exemption are available at: Claiming an exemption under section 8 for a second hand property purchased in 2013 by a non-first time buyer.

Exemptions:

  • New and previously unused properties that are purchased from a builder or developer between 1 January 2013 and 31 October 2016 will be exempt until the end of 2016.
  • Properties purchased between 1 January 2013 and 31 December 2013 will be exempt until the end of 2016. The exemption is subject to certain conditions, including that the property must be the person’s sole or main residence. If the property is subsequently sold or ceases to be the person’s main residence between 2013 and 2016, the exemption no longer applies. For further information please see: What exemptions from Local Property Tax (LPT) are available for residential properties purchased betwen 1 January and 31 December 2013?
  • Properties constructed and owned by a builder or developer that remain unsold and have not yet been used as a residence.
  • Properties in unfinished housing estates (commonly called "ghost estates"), specified by the Minister for the Environment, Community and Local Government in the pdfFinance (Local Property Tax) Regulations (S.I. No. 91 of 2013) External link. Further details are included in the press releaseExternal link issued by the Department of the Environment, Community and Local Government. Maps are available for viewing on the website of the relevant local authority. A full list of local authorities is available on the website of the Department of the Environment, Community and Local Government External link.
  • Residential properties owned by a charity or a public body and used to provide accommodation and support for people who have a particular need in addition to a general housing need to enable them to live in the community such as sheltered accommodation for the elderly or the disabled. A "charity" must be granted an exemption for tax purposes by the Revenue Commissioners to avail of this exemption. pdfGuidelines for the Assistance of Social Housing Providers in Identifying Special Needs Accommodation (PDF, 176KB) are available on the Revenue website.
  • Registered Nursing Homes.
  • A property previously occupied by a person as his or her sole or main residence that has been vacated by the person for 12 months or more due to long term mental or physical infirmity. An exemption may also be obtained where the period is less than 12 months, if a doctor is satisfied that the person is unlikely at any stage to return to the property. In both cases, the exemption only applies where the property is not occupied by any other person.
    (Note: Where a property is owned by more than one person, the owners are jointly and severally liable for the payment of the tax. Therefore, this exemption would not apply if the property in question was jointly owned with others.)
  • Mobile homes, vehicles or vessels.
  • Properties fully subject to commercial rates.
  • Diplomatic properties.
  • Residential properties that have been certified as having significant pyritic damage. In these cases the properties will be exempt for a temporary period of approximately three years. Regulations have been made by the Minister for Environment, Community and Local Government ( pdfFinance (Local Property Tax) (Pyrite Exemption) Regulations 2013 - S.I. No. 147 of 2013 External link) stipulating how properties are to be tested to establish whether they have been affected by a significant level of pyrite-induced damage and providing for the issue of certificates by a competent person where this has been established. Further information, including pdfFrequently Asked Questions External link are available on the website of the Department of the Environment, Community and Local Government.
  • Properties used by charitable bodies as residential accommodation in connection with recreational activities that are an integral part of the body’s charitable purpose, e.g. guiding and scouting activities.
  • A residential property purchased, built or adapted to make it suitable for occupation by a permanently and totally incapacitated individual as their sole or main residence, where an award has been made by the Personal Injuries Assessment Board or a court or where a trust has been established specifically for the benefit of such individuals. In the case of adaptations to a property, the exemption will only apply where the cost of the adaptations exceeds 25% of the market value of the property before it is adapted. The exemption ends if the property is sold and the incapacitated individual no longer occupies it as his or her sole or main residence.

For further information on Exemptions please read the Frequently Asked Questions (FAQs)

February 2014


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