Terence Flanagan (Dublin North East, Independent)
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283. To ask the Minister for Finance his views on concerns that homeowners are being charged €150 by private companies to sign pyrite certification required by the Revenue Commissioners (details supplied); and if he will make a statement on the matter. [28694/15]

Michael Noonan (Limerick City, Fine Gael)
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Section 10A of the Finance (Local Property Tax) Act 2012 (as amended) provides for a temporary exemption of at least three years from the charge to Local Property Tax (LPT) for residential properties that have been certified under Regulations made by the Minister for the Environment, Community and Local Government (S.I. No 147 of 2013) as having "significant pyritic damage".

The Regulations also specify the assessment methodology that must be applied to confirm the presence of significant pyrite damage, including that the Building Condition Assessment must be carried out by a qualified competent person (I.S. 398-1:2013). The Regulations also clearly specify the type of certification that must be produced before an exemption from LPT can be granted. This is the only type of certificate that is relevant under current legislation. The Revenue Commissioners have no role in determining the cost of acquiring the certificate and have no discretion to apply an exemption from LPT on foot of any other type of supporting documentation.

In regard to the specific case to which the Deputy refers, I am advised that the property owner in question has not produced the required certificate confirming 'significant pyritic damage', which legally prohibits the Revenue Commissioners from allowing the LPT exemption to apply.

The person has however recently made direct contact with the Revenue Commissioners requesting additional time to acquire the correct certificate and this has been agreed to. The Commissioners have assured me that all compliance activity has been put on hold to allow the person adequate time to follow up on the issue.

The Deputy may be aware that I have initiated a review of the operation of LPT. This review is being conducted by Dr Don Thornhill and is due to be presented to me no later than summer 2015. The review will primarily have regard to recent residential property price developments, the overall yield from LPT and the desirability of achieving relative stability in LPT payments. It will however also address a number of matters relating to the administration of LPT, including the operation of the pyrite exemption provisions.

A resolution to the pyrite issues may necessitate a change in the relevant provisions of the Finance (Local Property Tax) Act 2012 (as amended) and/or the Finance (Local Property Tax) (Pyrite Exemption) Regulations 2013. If legislative change is required, then I will examine the possibilities for its advance application on an administrative basis with the Revenue Commissioners.

However, pending any decisions in relation to the statutory provisions, the Revenue Commissioners have an obligation to act in accordance with section 10A of the Act, which requires that an LPT exemption can only apply where the residential property has been assessed and a relevant certificate confirming "significant pyritic damage" has issued to the property owner.