Additional land which falls within the scope of the controversial Residential Zoned Land Tax (RZLT) has been identified in new ‘supplemental maps’.
Minister for Finance Michael McGrath and Minister for Housing, Local Government and Heritage Darragh O’Brien have announced the publication of supplementary Residential Zoned Land Tax maps by a number of local authorities.
These supplemental maps identify additional lands, zoned residential or mixed use, which may be subject to the tax. Landowners are being urged to check their local authority’s supplemental map to see if it applies to them.
The aim of the tax – which will apply from 2024 to relevant land at a rate of 3% of market value – is, according to the government, to activate land for residential development throughout the country, rather than to raise revenue.
Commenting on the release of the supplemental maps, Minister McGrath said: “This is an important step in the RZLT implementation process whereby, following the draft map publication, additional land within the scope of the tax has been identified by a number of local authorities and third parties.
“Landowners whose land is included on a supplemental map should now review the map and consider if their land meets the criteria for inclusion and make submissions to their local authority accordingly,” the minister added.
Landowners can make a submission to their local authority to challenge the inclusion of their land in the RZLT supplemental maps. The deadline for doing so is June 1.
Residential properties, while they might be on the map, are not liable for the tax if they are subject to Local Property Tax.
“I would remind landowners to note the June 1 deadline for making a submission to their local authority regarding inclusion or exclusion or their lands from the supplemental maps or to request a zoning of land,” Minister McGrath said.
In December 2023, finalised maps will be prepared by local authorities identifying the land to be taxed. The final maps will be revised annually from 2025 onwards.
IFA to check constitutionality of RZLT
The RZLT has proven highly controversial with farming organisations, who are concerned that private farmland may be brought under the scope of the tax.
The Irish Farmers’ Association (IFA) said that it has engaged senior counsel to examine if the RZLT, which will come into force from next February, is “unconstitutional”.
The association said that it wants to examine all potential aspects of the new legislation, including its implementation, the operation of the tax, and constitutional issues.
The IFA has warned that the new land tax will have a “significant impact on many farmers with lands adjoining towns and villages throughout rural Ireland”.