BTW - Has your 'friend' made a tax return for all the years it has beem let out ? Revenue will not be so forgiving.
Yes friend has made tax returns for each year it's been let out...does this make a difference?
Tax returns prove that he has been letting out this property, so he'd be very unwise to claim he has only owned the rental property for 1 year to dodge the fines.
What is the position with an apartment willed to children which has to be sold & proceeds divvied up ? Does the executor have to pay the NPPR - and what if there isnt enough money in the kitty while waiting for apt to be sold ?
What is the position with an apartment willed to children which has to be sold & proceeds divvied up ? Does the executor have to pay the NPPR - and what if there isnt enough money in the kitty while waiting for apt to be sold ?
Probate
Where there is a property whose owner is deceased, there is no person meeting the definition of owner in the Local Government (Charges) Act until letters of administration or probate have been granted. Where letters of administration are required, the person who is granted administration becomes the owner for the purposes of the Act. In a probate case, the executor becomes the owner on the issue of probate. Only at that point does liability kick in.
Well it may be unwise but my friend physically doesn't have the money and he wanted to pay the current 200 and not let it roll over again, so he doesn't have a choice really. The mortgage repayment is now about 250 more than the rental income and management fees are 150 per month, so there's a shortfall of 400 euro per month. This coupled with the fact that the property is worth probably 70 to 80 k less than what he paid for it.
I know it's dodging the fines but he can't magic money out of nowhere. Is there any way he could talk to Dublin city council or come to some arrangement on the fine, maybe pay it off over time or something?
Well it may be unwise but my friend physically doesn't have the money and he wanted to pay the current 200 and not let it roll over again, so he doesn't have a choice really. The mortgage repayment is now about 250 more than the rental income and management fees are 150 per month, so there's a shortfall of 400 euro per month. This coupled with the fact that the property is worth probably 70 to 80 k less than what he paid for it.
The point being made is that this is another cost added to the existing shorfall in mortgage vs rent, and the lower value of the property.How is the negative equity tied to the fact that he cannot pay the NPPR.
This isn't a fine it's extortion. If any lending institution tried to charge interest rates anywhere near this they wouldn't be allowed.He should certainly start to pay the 200 and make a start on the backlog. This charge has a serious fine built into it and the co councils etc are only delighted with it.
So is it possible to pay the 200 without paying the fine part, and stop the fine accruing?He should pay the NPPR for all years, that will stop the fine accruing,as far as I know there is no penalty interest if you haven't paid the fine, only if you haven't paid the NPPR itself. He can then take his time paying the fine.
If he sells the property he's looking at a loss of 70 - 80k, also properties just aren't selling. He is happy to subsidise it and is doing so like thousands of others in the same boat. What he's not happy about is the council bringing in extortion masquerading as a fine.Can he sell the property and pay back the negative equity if it doesn't make sense financially for him to be subsidising it.
Well if he isn't happy with the "extortion" then he should have paid more attention when becoming a landlord. He was obviously smart enough to correctly know he had to submit a tax return on the rental income. And the NPPR was fairly widely publicised at the time.
He became a "landlord" years before the nppr and its associated extortion was introduced.
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