Local property taxes and funding advice – The Irish Times

Sir, – Cllr Dave Quinn writes (Letters, October 17) that in relation to the debate surrounding the decision by the majority of Dún Laoghaire-Rathdown councilors on October 10 to impose a 15% reduction in the amount of the local property tax (LPT) to be paid, that a “local adjustment of 0% has been proposed to be applied in tandem with a pilot program of housing assistance subsidies”. He claims that this would have raised around an additional €8 million in additional revenue collected from local residents, alongside a grant scheme allowing residents to meet certain criteria (the price of the property in question being lower than €700,000 and earnings not exceeding the average industrial wage of €45,760) to recover essentially almost all of the value of the additional property tax charge in real terms that would have applied.

Some credence should be given to the imagination in suggesting a pilot system of residential support subsidy program, but the basis for the proposed figures was based on a national estimate of the number of wage earners earning less than the average industrial wage being 78%.

The median household income in Dún Laoghaire-Rathdown, according to 2016 CSO figures, was the highest in the country at €66,203, in contrast to a national median household income of €45,256, so estimates in terms of assessment of the applicability of what would be applied locally. the subsidy scheme should have reflected local revenue figures. Although there may be a presumption that those with higher incomes in Dún Laoghaire-Rathdown might pay more, such people are often in the “middle tight” category, paying higher mortgages than elsewhere.

Second, the estimated redemption rate by eligible residents of the Support Grant suggested by Cllr Quinn was between 7% and 15%, which seemed low.

The real issue this year regarding the local property tax in Dún Laoghaire-Rathdown is that although for the first time since its introduction all revenue will be retained locally, it was indicated at the aforementioned council meeting that the council was receiving negligible net income. as the other grants have been proportionally reduced compared to previous years. This issue was also highlighted at a recent Dublin City Council meeting by Cllr James Geoghegan. Following my questioning, it appeared that the social housing aid paid in particular to the municipality should be at higher levels.

The ending of local property tax equalization this year (which ended the practice that 20% of tax collected was not invested locally but instead allocated to a central government fund) owed the Originally announcing an additional revenue bonanza for the council but, as with Dublin City Council, pressure must be applied to ensure that the intended spirit of this benefit materializes in real terms. – Yours, etc.,

Mr JOHN KENNEDY,

Fine Gael,

Dun Laoghaire

Rathdown County

Council Offices,

DunLaoghaire,

Co Dublin.

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