Tuesday 26 September 2017

Tax can hit tennis and stable

Donal Buckley

Home OWNERS with a swimming pool, stables or tennis courts located beyond an immediate site of one acre must include these when valuing their property for the local property tax (LPT).

In a response to concerns raised by the Institute of Professional Auctioneers and Valuers (IPAV) the Revenue commissioners said that while the property tax will apply to homes with buildings on one acre, in those cases where a building or facility is located outside that acre then when such facilities would add to the value of the residential property, it must be included when assessing for property tax.

Pat Davitt, chairman of IPAV's Valuation Committee, had called for clarification on this and also for homes with problem adjoining properties such as those located near noisy activities such as schools, windmills etc.

He also points out that if the stables were on a site across the road from a house, then the house might have a lower value whereas the Revenue seems to be demanding that if the stables are on a few acres adjoining the house then these add to the residential value and the LPT.

A spokesperson for the Revenue said the LPT values do not just apply to the dwelling house itself "but also any other buildings or structures that, in a broad sense, belong with the dwelling house and that are enjoyed as an amenity rather than used for a commercial purpose.

"These are regarded as an intrinsic part of the dwelling house. Tennis courts and greenhouses would be similar examples of such buildings or structures – these could be located at a distance from the dwelling (possibly beyond an acre) – and they must be taken into account in the self-assessment if they are enjoyed as part of the dwelling house."

Irish Independent

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