Revenue forces 3,300 Galway householders to pay Property Tax

Revenue enforced mandatory collection of Local Property Tax on more than 3,300 households in Galway in 2016, according to newly-released statistics.

The figures show that while Galway City and County were ahead of the national average rate of compliance for payment, Revenue had to impose enforced collections (from the ‘pay packet’) 4% of households in the county and 1.5% in the city.

The statistics show that in County Galway last year, the tax was paid on 70,800 properties, generating €14.2m for Revenue, and a compliance rate of 98.4%. Mandatory deductions were imposed in relation to more than 2,800 properties in the county.

In the city, LPT was collected on 31,800 properties (98.7% compliance), generating €8.2m. There were mandatory deductions imposed at nearly 480 properties in the city.

The average rate of compliance nationally was 97% – the highest rates were recorded in Laois and South Dublin, both at 99.8%, while the lowest rate was in Donegal at 92.6%.

The highest rates of mandatory deductions were recorded in Dublin City at 9.9% and Cork County at 8.8%, while the lowest were in Leitrim (0.9%) and Longford (0.9%).

A breakdown of the figures for County Galway shows that more than 34% of properties were valued in the bracket up to €100,000; around 33% in the €100,000 to €150,000 bracket; 23% in the €150,000 to €200,000; 5.5% in the €200,000 to €250,000; 2% in the €250,000 to €300,000 and 2.2% valued at over €300,000.

The figures also show that while 44% of properties stayed in the same valuation bracket in the county, almost 28% moved one band lower compared to 2015; 10% two bands lower and 0.5% three or more bands lower. Just under 10% moved one band higher; 5% two bands higher and 3% moved three or more bands higher.

For Galway City, there were 19.2% valued at under €100,000; 30.5% at €100,000 to €150,000; 27.6% at €150,000 to €200,000; 11.8% at €200,000 to €250,000; 4.7% at €250,000 to €300,000 and 6.2% at over €300,000.

The statistics show that 43% remained in the same valuation band in the city, 30% moved one band lower; 10.5% two bands lower and 2.3% three or more bands lower. 7% of houses moved one valuation band higher; 3% two bands higher and 4% three or more bands higher.

The statistics also show there were 1,700 exemptions (totalling €300,000) in the county and 500 in the city (totalling €200,000) – these can arise for a variety of reasons, including unsold new builds; the residences of severely incapacitated people or those with long-term illnesses; nursing homes; charity-owned homes and unfinished estates.

There were 1,500 payment ‘deferrals’ in the county (totalling €200,000) and 600 in the city last year (totalling €100,000). These arise is a householder is below a certain income threshold; if the householder is insolvent and where the householder is the executor of an estate following a death.