Micheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Deputy for raising the issue. Of course, the origins of the residential zoned land tax lie in the context of the debate we have just had. The Government is totally focused on increasing the supply of housing. Any land that is zoned or that people sought zoning for that is not used for housing, we want used for housing. That is the fundamental objective here, to deal with the issue of supply. The only way we can deal with the housing crisis is to have additional housing supply. This would have the impact of incentivising people to develop, but in a different way because it creates a penalty for the lack of development.

I think the Deputy has raised legitimate points in respect of those who may never have sought their land to be zoned in the first instance but which may be subject to county development plan zoning. The opportunity exists in that case for people to appeal both to the local authority to have their land essentially dezoned. Land in active agricultural use within mixed use zonings, in particular, may not meet the criteria for falling within the scope of the tax and, if so, should not be reflected in the draft residential zoned land tax.

The Department of Housing, Heritage and Local Government is assessing the amount of land in scope for the tax. It estimates that approximately 10,000 ha is within the scope on the published draft maps. It is not possible to quantify how much of this land is in active agricultural use. However, it is estimated that the majority of agricultural land across the country is not affected by the tax. All 31 local authorities published draft plans in November of last year. Landowners and interested parties made a total of 1,687 submissions to the local authorities by 1 January. The local authorities will assess submissions and decide to retain or remove land from the maps. There is some latitude in terms of that deadline. If people missed the deadline, they can apply. Landowners can appeal the decision of the local authority to retain their land on the map where the local authority considers that the land falls within the scope, notwithstanding the submissions to An Bord Pleanála. If the local authority says "No" and it wants to zone the land, it can go to An Bord Pleanála.

As a once-off provision during 2022-2023, landowners may also request the local authority to rezone their land to remove it from the scope of the tax. A total of 210 submissions requesting a change to zoning were made to local authorities by 1 January 2023 on the draft maps. Again, we would seek latitude in that respect if people missed that particular deadline.

The next stage is the publication in May of a supplemental map by local authorities identifying additional land that has fallen into the scope, with provision for landowner submissions and appeals of decisions as took place within the draft maps. The final maps will be published on 1 December this year and will be updated annually thereafter. With regard to phasing, the legislation states that all land that is zoned and serviced and does not benefit from the exclusion will be within the scope of the tax.

In terms of the Deputy's latter point, the Department of Housing, Local Government and Heritage and the Department of Finance are aware of situations where phasing objectives within development plans may prevent the development of phase 2 lands until phase 1 lands have been developed. The Department is considering this matter currently. I do not think it is on that somebody who, through no fault of their own, is not developing in phase 2 should be taxed.

See this speech in context