Online map of unused land subject to new tax will 'discourage speculation', says Cork city councillor

CORK County and City Councils’ publication of new draft maps that the Government hopes will unlock unused land for housing, has been welcomed by a city Councillor.

The Government’s Housing For All – A New Housing Plan for Ireland, proposed the new Residential Zoned Land Tax (RZLT) to activate sites for residential purposes and increase new housing supply.

The RZLT was introduced in the Finance Act 2021. The process to identify land to which the tax applies is now underway and the tax will be payable from 2024.

Green Party councillor Oliver Moran has welcomed the move. 

“This new tax will begin from February 2024 and what’s happening now is that local authorities across the country are preparing maps of land that will be included in it,” he said. 

“The tax will be administered by the Revenue Commissioner, and it will be three percent of the market value of the land each year to be paid by the owner.

“The idea is for a yearly tax on land that’s zoned for housing, and might even have planning permission, but that is being sat on rather than being developed.

'ENCOURAGE DEVELOPMENT'

“The intention is to encourage owners of zoned land to develop it for housing and to discourage speculation, which leads to prices soaring, by putting a cost on keeping zoned land idle.

“These are sites that don’t pay they Derelict Sites Levy because they are not derelict or the Local Property Tax because they are not being lived in but by keeping them empty the owners are keeping housing from people how need it.

“The public consultation that’s open now will allow property owners who don’t think it should apply to them to request that their land is de-zoned. However, the decision to de-zone land will be solely the decision of Cork City Council and will require a vote in each case.

“I’ve also requested that property in the city centre that I know has planning permission for housing be included in this tax. That means that the property owners will have to pay an annual charge while they are sitting on the planning permission and doing nothing,” added Cllr Moran.

The draft map is available online and to view at the Planning Counter in City Hall, Anglesea Street, Cork from 10am to 4pm Monday to Friday.

Residential properties are not subject to RZLT if they are subject to Local Property Tax. It is not necessary to make a submission to remove this type of residential property from the map.

Submissions can be made by the public on the draft map from now until January 1, inclusive.