What happens if you do not comply

Local Property Tax (LPT) surcharge

A chargeable person or company listed as a designated liable person may incur a Local Property Tax (LPT) generated surcharge. The LPT surcharge is 10% of your Income Tax, Corporation Tax (CT), and, or Capital Gains Tax (CGT) liability.

Revenue will apply this LPT surcharge when:

  • the LPT return that was due has not been filed and an Income Tax, CT or CGT Return is filed
  • there are outstanding LPT liabilities at the date of filing the Income Tax, CT or CGT Return
  • or
  • any LPT due is not being paid in accordance with an agreed payment arrangement.

An LPT generated surcharge will be imposed on whatever date the Income Tax, CT or CGT Return is filed. The surcharge is in addition to the actual LPT liability, plus interest, that may arise for late payment. An outstanding Household Charge liability is not taken into account for surcharge purposes.

Revenue may cap the LPT generated surcharge providing the following conditions are met:

  • the LPT generated surcharge is higher than the combined LPT liabilities outstanding
  • the person has filed the LPT Return
  • and
  • the person has paid any outstanding LPT, or enters into an agreed payment arrangement.

At the date of filing the return, Revenue will cap the surcharge. For the years 2013 to 2021, the surcharge was capped at the amount of the LPT liability. For 2022 and subsequent years, the surcharge is capped at 50% of the amount of the LPT liability. 

Next: Tax clearance