When is the deadline and how do I value my house?

For the first time since its launch in 2013, the local property tax (LPT) system is evolving and citizens are forced to assess their properties to set a new rate for the next four years.

Although house prices have skyrocketed since the last valuations eight years ago, the Department of Finance estimates that just over half of homeowners will not see any change in the annual amount of LPT they pay. under the revised system. More than a third of homeowners are expected to face a higher tax bill, while another in 10 will see their rates drop.

When is the deadline for submitting a property appraisal?

The deadline to submit a new assessment is November 7. However, if this is missed, owners should still file an appraisal after this date.

Revenue began sending letters to homeowners asking them to establish the market value of their properties. In the correspondence, Revenue sets out an estimate of the local property tax payable, which will be replaced when the beneficiary provides a self-assessed property assessment as part of their LPT return.

If a person does not submit a return by November 7, Revenue will collect the estimated amount and then continue to request the submission of a self-assessed assessment, which the owner is required to submit.

How should I proceed to value my property?

Revenue looks for the value of a property on November 1, 2021, and this will apply for the years 2022 to 2025. The process does not require individuals to seek their own professional appraiser, although this option may be appropriate if a real estate fluctuates between price brackets.

Most people will likely be guided by the options outlined in the Revenue Property Valuation Guide on Revenue.ie. Users are invited to enter their Eircode to find their home on an interactive map, which will then suggest a price range for that address.

The Real Estate Services Regulatory Authority (PSRA) publishes the Residential Real Estate Price Register. This register contains information on residential properties purchased in Ireland since January 2010.

Revenue will also accept reviews obtained using information sources such as newspapers, local real estate agents, or property sales websites such as myhome.ie or daft.ie. Owners should use information about properties in the area that are similar in size and approximate age to their own. Any documentation used for the assessment should be retained in case the administration requests it at a later date.

For comparison, you can also check your previous LPT rate, which can be found on Revenue’s MyAccount.

What if I undervalue my property?

Revenue’s online tool was found to contain a number of discrepancies, including valuation differences of up to € 87,000 applying to similar houses in certain areas of Dublin, and in some cases in the same street. The Revenue Commissioners said they would not challenge people who rate their properties one band lower than their own guidelines in the online tool.

However, Revenue will review the self-assessments and contest the ones they disagree with. You can change your LPT return after November 7 if you realize that you have undervalued or overvalued your property or realize that you qualified for an exemption.

What are the LPT price ranges?

There are 20 price brackets in the new LPT system that will apply from January 1, 2022. The lower bracket covers homes with a value between € 100,000 and € 200,000, in which owners will have to pay. a basic annual fee of € 90.

People with accommodation between € 363,501 and € 350,000 will pay € 315 per year as the base rate, while those in the above bracket, with homes valued up to € 437,500, will pay will be charged a base rate of 405 €. At the high end, people with housing valued at over 1.75 million euros will pay at least 2,830 euros each year.

Am I eligible for an exemption?

Even if your property is eligible for an exemption, you must still submit an appraisal to Revenue. Homes confirmed to be affected by pyrite, mica or other defective concrete blocks are eligible for exemptions, as are properties adapted for a person with a disability.

First-time buyers and new homes purchased since 2013 – two groups that were previously exempt – will also be liable for the tax in a move that will bring more than 100,000 homes into the LPT system.

While any garden, driveway, garage, or greenhouse should be part of the overall property valuation, attached farmland or farm animal sheds do not need to be valued with a residential property.

How do I pay my local property tax?

Owners will need their Property ID, PIN (which is included in LPT letters issued by Revenue) and Personal Public Service Number (PPSN) or Tax Reference Number.

Payments can be made in a single annual amount or in installments. Payment options include direct debit, credit card or at source. If you have already paid LPT, you can automatically postpone this method to 2022.

If you complete your tax return on paper, you will be able to have the amount deducted from your salary, occupational pension or other certain payments from the Ministry of Social Protection and the Ministry of Agriculture. You can also make cash payments via An Post or by check.

I am still confused!

Revenue has more details on their website and has also established an LPT helpline on 01 738 3626. You will need to be able to quote your PPSN, Property ID and PIN.

* This article was last modified on October 4, 2021

Penny D. Jackson