Pearse Doherty (Donegal South West, Sinn Fein)
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166. To ask the Minister for Finance if he has considered a vacant land tax; if he will estimate the amount that could be raised for the Exchequer if a vacant land tax was applied in the same way as higher rates 50% are applied to vacant properties to incentivise landlords to use them by Dublin City Council [25375/13]

Michael Noonan (Limerick City, Fine Gael)
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It is not clear from the question what other properties or land the proposed "vacant land tax" would apply to. I am advised by the Revenue Commissioners that they do not have any data on “vacant land”. Based on figures provided by the Central Statistics Office (CSO) the number of "vacant dwellings" per the 2011 census was in the region of 290,000. However, the CSO does not have overall valuation data for such dwellings so it would not be possible to estimate the potential yield from a vacant land tax on such properties. As the Deputy may be aware, the Local Property Tax applies in the same way to vacant residential properties as it applies to occupied residential properties, unless such properties are not suitable for use as a dwelling.

I am advised by the Central Statistics Office and the Minister for the Environment, Community and Local Government that they do not have data on undeveloped land which would enable a yield from a “vacant land tax” to be estimated.

With regards to vacant commercial properties, I am advised by the Minister for the Environment, Community and Local Government that the Local Government Act 1946 provides that where a property in a county council or urban area is unoccupied on the date of the making of the rate, the owner becomes liable for payment of rates. However, the owner is entitled to a 100% refund if the property is vacant for specified purposes. These are where the premises are unoccupied for the purpose of the execution of additions, alterations or repairs; where the owner is bona fide unable to obtain a suitable tenant at a reasonable rent; and where the premises are vacant pending redevelopment.

Separate legislation governs refunds in Dublin, Cork and Limerick. Section 71 of the Local Government (Dublin) Act 1930; section 29 of the Limerick City Management Act 1934 and section 20 of the Cork City Management (Amendment) Act 1941. While the same criteria for refunds apply, only 50% of the rates paid is refundable to the owner of vacant premises in these cities.