Pearse Doherty (Donegal South West, Sinn Fein)
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68. To ask the Minister for Finance the reason why only two months after being informed that their local property tax liability would be limited to band 1, some residents of Longboat Quay in Dublin 2 have received correspondence from the Revenue Commissioners reversing this decision. [3547/16]

Pearse Doherty (Donegal South West, Sinn Fein)
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69. To ask the Minister for Finance if he will exempt homes from local property tax, such as those in Longboat Quay in Dublin 2 that are effectively valueless through no fault of the residents; and if he will make a statement on the matter. [3548/16]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 68 and 69 together.

The Finance (Local Property Tax) Act 2012 (as amended) provides that any property that is in use as, or that is suitable for use as, a dwelling house is subject to LPT.

The current valuation period is 1 May 2013 to 31 October 2019. The period was recently extended from 31 October 2016 on foot of legislative amendment (Finance (Local Property Tax) (Amendment) Act 2015) to give property owners certainty in regard to valuations and to remove concerns that LPT liabilities could rise significantly as the property market recovers.

The 1 May 2013 declared valuation is not affected by any repairs or improvements made to a property or by any general increase or decrease in property prices over the course of the valuation period. Where structural defects are detected after 1 May 2013 they impact on current valuation and are not retrospective to the 'valuation date'. Therefore there is no basis in law to reduce an LPT valuation during the 'valuation period'. 

In regard to the specific cases mentioned by the Deputy, Revenue has advised me that the original notifications advising the very small number of persons in question of a reduction in their LPT valuations issued in error and were incorrect. Revenue has also confirmed to me that where mistakes are made or where taxpayers are provided with incorrect information, contact is made with the affected parties as soon as the error comes to light to firstly apologise and to ensure the correct information is quickly provided and clarified as necessary. It was in this context that the correspondence to which the Deputy refers  issued.

I have no plans to introduce an exemption from LPT along the lines suggested by the Deputy.