Dáil debates

Thursday, 2 May 2013

Topical Issue Debate

Property Taxation Administration

4:00 pm

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)
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I thank the Ceann Comhairle for selecting this Topical Issues matter. Many issues concerning the property tax have arisen since it was included in the troika agreement three years ago, including in recent times exemptions for unfinished estates. That is not the reason I raise this matter. I raise it on behalf of those who want to pay their property tax and fulfil their responsibility but who are finding obstacles being put in their way. They have heard the warnings from the Revenue Commissioners who claim they will get the money in any case, and by and large these people wish to fulfil their responsibilities.

The first problem is trying to register. Large numbers of people did not receive letters from Revenue. I do not know the reason for that. Perhaps there is no database. I have had many people come to my office and my clinics who have paid their household charge and who, I presume, should have been on a database as a result, yet they still have not received letters. They telephone the lo-call number for Revenue and in some cases are left hanging on for 20 minutes before they get to talk to anybody. When they do get through, they say they wish to pay the tax and ask for a form so they can register because registration will not be done over the telephone. Revenue does not send them the letters and they are then told they can register online. There were six people in my office in Claremorris this morning whom my staff helped to register online. We are glad to do that and glad to help them but it should not be the function of any of our offices to do the work that is supposed to be done by Revenue.

As for the 20 minutes some people are left hanging on, is it the case that there are not enough people on the other end of the line to cope with what is coming their way? The final day for registration by post is next Tuesday, 7 May. Monday is a bank holiday and there will be no lo-call service or anything else for the people making queries. I appeal for the date of registration by post to be extended to the same day as the date for online registration, which is at the end of May. I do not want to see this turning into another SUSI or what happened when medical cards were centralised, but it seems that is how it is developing.

I am aware that homeowners are required to register and pay their taxes but many of those who have not received letters are ignorant of their responsibilities. What has been done to inform people who live abroad and families who have emigrated recently about their responsibility to pay the tax?

4:10 pm

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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I thank Deputy O'Mahony for raising this matter. The feedback on the ease with which the local property tax, LPT, can be paid has generally been positive. I am advised by the Revenue Commissioners that over 400,000 people have successfully filed their LPT returns to date and have either paid immediately or selected one of the other available payment options. I understand this afternoon's tax receipts announcement for April will confirm that approximately €21 million has already been paid to the Exchequer in respect of the LPT. The large numbers that are successfully meeting their LPT obligations strongly indicate that not many people are experiencing problems when paying the tax. Revenue is providing a dedicated helpline at 1890 200255 to assist any person experiencing difficulties in either paying or filing and this service is proving to be beneficial in regard to ensuring people clearly understand how to meet their LPT obligations. I am informed by Revenue that a number of different payment options have been put in place to assist people in meeting their obligations, including the option to pay the tax in one single payment or to phase payments in equal instalments from 1 July 2013 to the end of the year. Revenue's strategy in this regard is to ensure taxpayers have a choice of payment options from which they can choose the method which is most suited to their individual circumstances.

Revenue has provided eight separate payment options to facilitate people in meeting their LPT obligations, including a single debit authority, which operates like an electronic cheque, is activated by completing the payslip on the LPT return and will not be deducted from bank accounts by Revenue any earlier than 21 July 2013; debit or credit cards; cheques, bank drafts or postal orders; cash payments, including debit and credit cards, through Revenue approved payment service providers; phased cash payment arrangements, including debit or credit cards, through Revenue approved payment service providers; deduction at source from salary or occupational pension commencing on 1 July 2013; deduction at source from certain payments received from the Department of Social Protection, provided that the deduction does not reduce the personal rate payment to less than €186 per week or deduction at source from payments received from the Department of Agriculture, Food and Marine; or direct debit commencing on 15 July 2013 and deducted on the 15th day of each month thereafter up to 15 December 2013. For the cash payment option, the approved payment service providers appointed by Revenue are An Post, TaxPay, Payzone and Omnivend. These service providers were approved because they have extensive nationwide outlets and are easily accessible. They provide liable persons with the facility to pay the LPT in full or on a phased weekly or monthly basis as best suits individual circumstances.

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)
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I thank the Minister of State for his reply but it did not address any of the questions I raised. I ask him to contact the Minister for Finance to seek a comprehensive response to my questions. I have been contacted by six people this morning and other public representatives in my area are dealing with elderly people who have not received letters and cannot access the Internet on their own. What is going to be done for these people? Will the deadline be extended? They want to pay their household tax. I accept what the Minister of State had to say about the millions of euro that have already been paid. I could have given a long speech about how people have accepted the valuations but I am specifically concerned about the people who we cannot afford to leave outside the law. I understand that it is not possible to pay by cheque. The people whom I refer cannot access the online payment facility.

Is it necessary to register uninhabitable houses which were exempt from the household charge? Are church properties or parish priests' houses exempt as charitable organisations? I would be grateful if I could receive answers to my questions.

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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They Deputy has raised a number of perceived difficulties.

Photo of Peter MathewsPeter Mathews (Dublin South, Fine Gael)
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They are operational difficulties.

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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His concerns will be conveyed to the Minister and the Department.

Photo of Peter MathewsPeter Mathews (Dublin South, Fine Gael)
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The important thing is urgency.

Photo of John O'MahonyJohn O'Mahony (Mayo, Fine Gael)
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We are dealing with a deadline of next Tuesday.

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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The Minister is satisfied that Revenue has provided a significant amount of information on payment options and both the LPT return and the booklet, Your Guide to Local Property Tax, covers this in some detail. It is also open to property owners who have queries on any aspect of the various payment options to call Revenue's dedicated LPT helpline. We want to make it as easy as possible for people to pay what is due. It is not in Revenue's interest to place obstacles in the way of paying the LPT.

Photo of Peter MathewsPeter Mathews (Dublin South, Fine Gael)
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The kernel is the need for urgency because of the deadlines and the ability to contact Revenue.