Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

Under the vacant site levy provisions of the Urban Regeneration and Housing Act 2015, planning authorities were empowered to apply a vacant site levy of 3% of the market valuation of relevant properties listed on local authority vacant site registers in 2018, which relevant owners were liable to pay in January 2019. The rate of the levy increased to 7% for sites listed on local authority vacant site registers from 2019 onwards, which site owners became liable to pay in January 2020.

I am informed by the Department of Housing, Local Government and Heritage that it proactively engages with local authorities with a view to ensuring that the vacant site levy achieves its full potential in terms of bringing concerned sites into productive use. In this regard, on 8 March 2021, the Department of Housing, Local Government and Heritage requested the submission of a progress report on the collection of the levy by each local authority. Responses have been received from each of the 31 local authorities. The Department is assessing the responses received and intends to proactively engage with individual local authorities and identify any issues to be addressed.

Each local authority has responsibility for the administration of the vacant site levy and register in its respective catchment area. A change in Government policy would be required to reassign the responsibility for collection of the levy to another body. The Deputy refers to the effectiveness of Revenue in collecting the local property tax, LPT, but it should be noted that the LPT is a self-assessed tax for which compliance is very high. Collection of the vacant site levy involves a physical inspection regime which would not align well with how Revenue conducts operations in that area. Careful consideration will be given by me to the role of local authority functions and to the capacity of the Revenue to take on further responsibilities.

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