LPT: Revenue Property Valuation Guide (The Heatmap) now live

I was just chatting to my sis in Canada. She sent me a copy of her property tax form.

Her assessed value is at below the market value of the house.

Her assessed value is $310,000. (Official valuation) (She knows that her house would fetch at least $350,000 based on recent sales in her area.) Her capped value is $230,000 (official valuation) So she pays tax on the lesser amount. Capped value 2 years ago was $214,000. Capped values are placed in "hot spots" where prices rise quickly on property values.

What does this money pay for?

Local funding:
urban general tax - rate of tax to be paid
Transport
Fire Protection (hydrants)
Education
Snow clearing

Provincial funding:
Education
Property valuation service
Correction services
Housing authority

Her property tax bill is in the region of $3000 per annum.



So, in her area they don't look for market value of the property. She is delighted, obviously, that this is the case.

Maybe this is what revenue intends for us here in Ireland without spelling it out to us. Do we really want to be spoonfed?

We are all (histrionics, I know) fretting over nothing in relation to the guideline valuations.

Revenue might be very happy for us to have self-directed valuations based on their guidelines.

Marion
 
oldnick said:
I do resent this tax- and the especially stupid timing. But frankly I'm relieved that it doesn't approach the property taxes being paid in U.K., U.S.A or most other EU states where such charges are several times greater.
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Does anybody else think the timing is stupid? I have looked through this thread and the discussion seems to be almost entirely about the valuation. But it seems to me the timing is just outrageously stupid - it is certain to leave a lot of people unable to file by the deadline. The Revenue is giving themselves a month to post out the forms, yet expects then that we'll all be able to fill the forms and get it back to them in less than a month! (OK, it gives a "generous" three more weeks to submit online.)

I expect a lot of mess - forms getting posted to wrong addresses, not posted on time, website crashing etc, etc...

Why create such a rush?!

Is this a way to hit otherwise-compliant people with penalties? And what are the penalties for being slightly over the deadline?
Or is it just sheer stupidity on the part of the Revenue?
 
I fail to see any rush. I'm sure it will be just as easy to pay this on time. It was no bother to pay the NPPR or household charge when they first emerged and there were a few teething problems with those too.
 
Bronte, the NPPR and household charge had 3 months to pay, and didn't need to wait for a letter from the Revenue, a letter that can be delayed, posted to the wrong address etc.

This is just my point, why is the window to register so narrow?

And a large number of people didn't pay the NPPR on time, in some cases for years, because they didn't know about it, especially those who live abroad. I did pay, and on time, but only by being very proactive. However, now the window to submit the return for this new tax is so narrow, even I will struggle. OK, I'll probably make it, just by submitting it online even if I don't get the Revenue estimate on time (it appears to be possible), but my point is a very large number of people will fall behind, and will then be hit with penalties, and harassed with threatening letters, for failing to submit by 7 May (or 28 May, if online). Why is this so early, when the payment is only expected in July? Mid-July for a single direct debit.
 
sahd said:
WIth forms going out now and over the next 4 weeks - people will have between 3 and 7 weeks to get the form back. It's only a matter of entering a valuation band and a payment method - it won't take long to fill in.
The Revenue will need several weeks / months maybe to enter them all on the system.
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Three weeks IS very narrow! With the time it takes in the post, it can get even more narrow, especially for those who are abroad. And that's assuming the Revenue get everything right, which I don't have a huge confidence in, after I paid the Household charge on time but was then sent several threatening letters demanding the payment.

The point I am trying to make is we were given 3 months to register for the NPPR and Household charge, but only 3-7 weeks now, and it will cause more people to miss the deadline. Why the rush? - would it be too unreasonable to expect a more realistic timescale? If the Revenue needs so long to enter our details on the system, maybe the payment dates could have been put back by a months or two? Or is this too much to expect?
 
Surely now is the time to change the legislation so as the Public Accounts Committee and the Comptroller and Auditor General have full access to all Local Authority spending. The people ought to demand this as everyone knows there has be some dubious dealings by Local Authorities.
 
When you add up all those benefits your sister is getting very good value for her $3,000 pa in Canada. France is similar. Here Mr Noonan has stated he doesn't think there would be any benefits informing the payer of LPT how his/her money was being spent because of the administrative burden involved.
 
One of her colleagues has a house officially assessed at 900,000 and is not in a capped neighbourhood. Her property tax is $10,000 pa. :eek:

Marion
 
Income isn't a factor in relation to the tax per se.

If somebody decides to live in an impressive valuable property they have to pay a price - high property tax. The tax must be paid regardless.

Marion
 
Understood Marion. I was wondering how much she would have to earn gross to enable her to pay the $3K (or other case $10k)? Kind regards,
 
Der Kaiser - I will have no problem in justifying dropping a band down based on an average of actual sales. Also, from checking out a few valuations of family / friends houses, the valuations do seem to err towards the higher end.

Do the Gov ever estimate on the low side ?
Same goes for my house - easily in the band below based on sales in the area.
 
Sumatra, I suppose the best way to answer the question without knowing the specific income ( I wouldn't ask) is to say that the average property tax where she lives is around $2000 give or take.

She is a double income public sector household.

Those who are on low incomes receive rental properties and so do not pay any property tax.

(As an aside she has never made any issues of paying the property tax. I'm the one who has made an issue of this. Her big issue - without wanting to take this thread off topic is College fees. They are paying $50,000 Per annum, give or take for 2 children in 2 different undergrad colleges at the moment. This includes living expenses). They were prepared and have had an investment vehicle in place to pay for this as they did not want their children to start their working lives with a bank loan. I presume this will come down the line in Ireland.)

Marion
 
I received my letter. As expected I have been asked to pay more than the actual value. My question is do I have to prove it as I am still confused about that.
 
I rang revenue, they advised going to local auctioneer and look at similar properties for sale then send into revenue the copy of the advert along with form so it seems they will be looking for information to back up your counter claim your property is valued less than their estimate
 
Property tax

I live in two bed house in my fathers farmyard he would not allow sale, so what value will I use for lpt.
 
irishmoss said:
I rang revenue, they advised going to local auctioneer and look at similar properties for sale then send into revenue the copy of the advert along with form so it seems they will be looking for information to back up your counter claim your property is valued less than their estimate
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That's very bad advice from revenue as the 'for sale' price may not be any close reflection of selling price.
 
Bronte said:
That's very bad advice from revenue as the 'for sale' price may not be any close reflection of selling price.
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Revenue's interest here, and elsewhere, is to maximise the amounts collected in tax. They have no duty of care in relation to their "customers'" tax minimisation & tax planning.
 
T McGibney said:
Revenue's interest here, and elsewhere, is to maximise the amounts collected in tax. They have no duty of care in relation to their "customers'" tax minimisation & tax planning.
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That's at odds with the commitment given on their website.

http://www.revenue.ie/en/about/customer-service.html
Our Commitment to Quality Service

Revenue devotes a great deal of time and effort to providing a top quality service to our customers. We have a responsibility to provide clear information and to make dealing with us as easy as possible.
By providing even better customer service and more taxpayer education and help, we aim to help all of our customers pay the right amount of tax and duty at the right time. We want to ensure that our customers know about their entitlements and to make claiming them simple and straightforward.
 
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