Eoghan Murphy (Dublin South East, Fine Gael)
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Question 524: To ask the Minister for the Environment, Community and Local Government if he will indicate the criteria that will be used to determine the amount of property tax to be paid when the measure comes into effect. [23715/11]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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I presume the Question refers to the household charge. The EU/IMF Programme of Financial Support for Ireland commits the Government to the introduction of a property tax for 2012. The Programme reflects the need, in the context of the State's overall financial position, to put the funding of locally delivered services on a sound financial footing, improve accountability and better align the cost of providing services with the demand for such services.

In light of the complex issues involved, a property tax, requiring a comprehensive property valuation system, would take time to introduce and accordingly, to meet the requirements in the EU/IMF Programme, the Government has decided to introduce a household charge in 2012. The household charge is an interim measure and proposals for a full property tax will be considered by the Government in due course.

The charge will be set at €100 and will apply to the majority of the households in the country, subject to a limited number of exemptions and waivers. It is expected to raise some €160 million and it is the intention that the revenues from the charge will support the provision of local services. Internationally, local services are administered by local authorities and financed by local service charges. In Ireland, local authorities are responsible for, among other services, fire and emergency services, maintenance and cleaning of streets, street lighting, public parks, waste services, libraries, open spaces and leisure facilities, etc. Legislation to underpin the household charge will be brought before the Oireachtas shortly.