Deferral of Local Property Tax (LPT) payment
Mortgage-adjusted income threshold
This category of deferral operates in a similar way to the ‘income threshold’ category. However, income thresholds in this category are higher where a claimant pays mortgage interest on their only or main residence.
Owner occupiers who pay mortgage interest can increase the standard income thresholds. The income thresholds can be increased by 80% of the gross interest that will likely be paid in the relevant year. To avail of this deferral category, the mortgage must have been taken out before 1 November 2020. You cannot avail of this deferral category if you have taken out your mortgage since 1 November 2020. If your mortgage was taken out before 1 November 2020, you can still claim this deferral if you meet the criteria.
If you claimed this deferral previously, you are still required to file a new LPT Return by 7 November 2025. This return covers the years 2026 to 2030. If you remain eligible for deferral, you can claim this on your LPT Return.
This deferral can be claimed on a self-assessment basis. However, claims may be selected by Revenue for verification.
To claim this deferral, you should estimate:
- your likely gross income for the year before the LPT is payable
- and
- the amount of mortgage interest that you are likely to pay by the end of that year.
Thresholds for claiming either a full or partial deferral
| Liable person (owner-occupiers only) | To qualify for a full deferral gross income should not exceed | To qualify for a partial (50%) deferral gross income should not exceed |
|---|
| Single or widow(er), with mortgage |
€25,000 + 80% of expected gross mortgage interest payments |
€40,000 + 80% of expected gross mortgage interest payments |
| Couple, with mortgage |
€40,000 + 80% of expected gross mortgage interest payments |
€55,000 + 80% of expected gross mortgage interest payments |
Note
The mortgage interest payments in the table above refer to the estimated interest that you will pay in the relevant year. The ‘relevant year’ is the year before the year in which the LPT for your property becomes payable. Further information is available in the Guidelines for deferral of LPT.
How to apply for this deferral category
There is an option to apply for an income deferral on the LPT Return. If you have already submitted your LPT Return, but now wish to apply for a deferral, you should submit your request through myEnquiries or by post to:
FREEPOST
LPT Branch
PO Box 1
Limerick.
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