Niall Collins (Limerick West, Fianna Fail)
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Question 498: To ask the Minister for the Environment, Heritage and Local Government if local authorities have the discretion to waive, discount or issue a credit note against commercial rate charges that have been invoiced to rated persons and businesses; and if he will make a statement on the matter. [3301/10]

John Gormley (Dublin South East, Green Party)
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Local authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by the Commissioner of Valuation. A standard Annual Rate on Valuation (ARV) is applied to all such property within any local authority area and there is no provision for discounting the ARV or issuing credit notes in respect of commercial rate charges.

Under section 2(1) of the Local Government (Rates) Act 1970, a rating authority may make and carry out a scheme providing for the waiver of all or a portion of rates due to it by ratepayers or a class of ratepayer in respect of specified property. The making of such a scheme is subject to the consent of the Minister for the Environment, Heritage and Local Government.

Any application received for a rate waiver scheme is carefully considered by me. However, in considering any such application, it would have to be borne in mind that a waiver of rates for one class of ratepayer could unfairly impact on other businesses in the area by giving a competitive advantage to a certain group through a reduction of costs. In addition, the introduction of a waiver scheme could increase costs on the part of ratepayers who are not part of the scheme, as they could be required to make up the costs of the waiver scheme through the payment of additional rates. This would impose an additional burden in what are already difficult economic circumstances.