Clare Daly (Dublin North, United Left)
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63. To ask the Minister for Finance further to Parliamentary Question No. 156 of 7 October 2014, the reason persons (details supplied) in County Leitrim whose sole income is disability allowance and whose sole property is vacant, with no rental income and in negative equity, were not granted a deferral of the property tax. [39235/14]

Michael Noonan (Limerick City, Fine Gael)
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I previously set out the criterion required to qualify for deferral of Local Property Tax (LPT) for the Deputy in my reply to Question 37827/14.

By way of reminder to the Deputy, Sections 132 and 133 of the Finance (Local Property Tax) Act 2012 (as amended) provides for a system of deferral arrangements for residential property owners/occupiers based on certain income thresholds. Normally, a couple whose only income source is a Department of Social Protection (DSP) payment would qualify for such a deferral providing they are occupying the property in question. The Act is very specific in this regard and Revenue has no discretion in the application of the law as set down.

The Deputy will also be aware from my reply to Question 37827/14 that I included a provision in the Finance (Local Property Tax) (Amendment) Act 2013 that allows a deferral of the Local Property Tax (LPT) charge that is not restricted to owner-occupiers. This deferral option applies where a property owner suffers an unexpected and unavoidable significant financial loss or expense as a result of which they are unable to pay their LPT, or maintain phased payment arrangements, without causing excessive financial hardship. Claims for this type of deferral require full disclosure to Revenue of the particular loss or expense that resulted in the financial hardship. The submission, which should be completed on the Form 'LPT 2' must also include details of the person's overall financial circumstances. Full information on the conditions and the application process in respect of deferral of LPT on hardship grounds is available on the Revenue website at .

In regard to the specific case to which the Deputy now refers, the persons concerned do not meet the qualifying criteria for the income based deferral as they do not reside in the property in question. However from the information provided by the Deputy they may qualify for a deferral on hardship grounds. Revenue has advised me that the persons in question recently wrote to LPT Branch in regard to possible deferral of their liabilities. LPT Branch replied confirming non-entitlement to deferral based on income but indicating the possibility of deferral based on hardship. LPT Branch also set out the application process including the requirement to file the 2013 LPT Return.

Revenue has confirmed to me that the persons in question have not yet responded to the reply that issued to them in respect of their letter. I would urge the Deputy to advise the persons to engage with LPT Branch as soon as possible, using the direct contact name provided to them, to bring matters to a conclusion and avoid any unnecessary enforcement action that might occur on foot of continued non-engagement.