Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Minister for his reply. In response to what he said on amendment No. 50, on allowing the local property tax payment as a deductible expense, it is as legitimate an expense as any other a landlord has. We should be under no illusions as the additional taxes heaped on landlords in recent years have directly resulted in rents increasing. They have certainly been a factor. Part of the story is with regard to supply, but the additional costs have simply been passed on to tenants. In the past the Minister has accepted the principle of allowing the local property tax as a deductible expense, and he should signal when he intends to make a move in this direction.

With regard to amendment No. 51, concerning the next valuation date for properties in respect of the local property tax, I accept the point about capturing new homes and that if the valuation date is continually delayed, new homes which have come on stream will not be captured, or if they are captured by way of self-assessment they will, by definition, have different valuation date. The Minister should address the issue as to when the review he will undertake in respect of the local property tax will be completed. I welcome the fact the Minister will do a review because people are concerned about this revaluation of properties, which is coming down the track very quickly. Somebody in band three, whose property was valued at just under €200,000 in 2013, faces a bill of €315 per annum. If the property is now worth just under €300,000 the annual bill will be €495, which is an increase of €180. As a result of how it is structured, with the liability linked directly to the market value of the property, this scenario has arisen. Will the Minister confirm when he expects the review to be concluded? Will he publish it? Will it be next year or 2016?

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