Carol Nolan (Laois-Offaly, Independent)
Link to this: Individually | In context | Oireachtas source

64. To ask the Minister for Finance if he or his Department have made any initial calculations regarding the amount of revenue that may be generated by the residential zoned land tax; and if he will make a statement on the matter. [51381/23]

Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The Residential Zoned Land Tax (RZLT) is a new tax introduced in Finance Act 2021 which seeks to increase housing supply by encouraging the activation of development on lands which are suitably zoned and appropriately serviced. It aims to bring those lands which have benefitted from investment in services and are capable of being developed forward for housing, rather than to raise revenue.

The tax measure is a key pillar of the Government’s response to address the urgent need to increase housing supply in suitable locations. However, it is important that affected landowners have sufficient opportunity to engage with the mapping process and that a fair and transparent process is applied when local authorities consider what land should be placed on the RZLT maps. Therefore, as part of Budget 2024, it was decided to extend the initial liability date of the tax by one year, from February 2024 to February 2025.

The purpose of this deferral is to allow for the annual mapping cycle to complete and afford landowners another opportunity to make submissions if their land is included on the maps prepared by local authorities .

In relation to the Deputy's question regarding any initial calculations on the estimated revenue yield that may be generated by the residential zoned land tax, at this time it is not possible to estimate a projected yield as the mapping process by local authorities has not yet concluded.

The revised final maps will be published on 31 January 2025 and the initial liability date for landowners will now be 1 February 2025. When the zoned land mapping process is concluded and the revised final maps are published, I will be in a better position to provide an estimate of the projected yield from land falling within scope of the tax.