Thousands facing property tax deadline could see cuts taken directly from wages

Revenue could start retrieving unpaid property tax fees from your wages if you do not comply with the fee as thousands of new homes become eligible for the controversial tax.

The liability date for Local Property Tax (LPT) is November 1 each year. This means that your property is liable for LPT for 2025 if it is a residential property on November 1, 2024.

Thousands of home completed in 2024 will now be liable for the charge in 2025 so homeowners need to take action.

"You need to pay the LPT charge for 2025 if you are the liable person for LPT on 1 November 2024. You are still the liable person if you sell or transfer your property between 1 November 2024 and 31 October 2025," a statement warned.

"Your LPT charge is based on your valuation of your property as at 1 November 2021. Your valuation of your property on this date determines your LPT charge for each year to 2025. This applies to newly built or renovated properties uninhabitable on 1 November 2021, but suitable for use as a dwelling on 1 November 2024.

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"Your property may become liable for LPT for the first time in 2025. If so, you should value your property and submit your LPT Return by 2 December 2024," they added.

Your property is newly liable for Local Property Tax (LPT) in 2025 if it is a newly-built residential property completed after 1 November 2023 and before 1 November 2024 or it has become occupied, or suitable for use as a dwelling, after 1 November 2023 and before 1 November 2024.

Revenue stressed: "The valuation date for LPT is 1 November 2021. This means that you need to value your property as if it had existed on 1 November 2021.

"Your LPT charge is based on the valuation of your property as at 1 November 2021. Your valuation of your property on this date determines your LPT charge for 2025."

Those who don't pay up face penalties including interest on unpaid charges over years as well as the prospect of payment being taken directly at source from your wages.

"You are not compliant if you fail to meet your Local Property Tax (LPT) or Household Charge obligations. Revenue will use a range of collection and enforcement options to collect any tax due," a statement warned.

"Revenue conducts a number of compliance campaigns reminding liable persons of their LPT obligations. If a response is not received within the specified time, Revenue will utilise the following collection or enforcement options: mandatory deduction from salary or occupational pension, the withholding of any refund of other tax as payment against LPT due, withholding of Tax Clearance Certification, LPT surcharge generated on Income Tax, Corporation Tax or Capital Gains Tax returns, interest charges of 8% per annum and additional penalties may also apply, referral of the debt to a sheriff or a solicitor for collection
or notice of attachment of the owner's bank account."

You can find out more about paying the Local Property Tax HERE.