Eric Byrne (Dublin South Central, Labour)
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To ask the Minister for Finance the position regarding the local property tax and its collection and distribution (details supplied); and if he will make a statement on the matter. [17956/13]

Michael Noonan (Limerick City, Fine Gael)
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Section 157 of the Finance (Local Property Tax) Act 2012 (as amended) provides, that commencing in 2014, the Minister shall pay into the Local Government Fund an amount equivalent to the Local Property Tax (LPT) (including any interest paid thereon) from the Central Fund or the growing produce thereof during that year. The allocation of funding to local authorities, as well as criteria in assessing such allocation, is properly a matter for my colleague the Minister for the Environment, Community and Local Government. The Government has accepted, in principle, a policy position that from next year 80% of all Local Property Tax (LPT) receipts should be retained within the local authority areas where the properties are based. The remaining 20% of the LPT collected nationally will go to the Local Government Fund, which will continue to provide funding to local authorities on a needs and resources basis.

Income from the LPT will accrue to the local authorities to fund local services. It will be the responsibility of each individual local authority to manage its budget and to allocate funds to services as appropriate.