The Government included a provision in the Local Property Tax legislation which provided for a revaluation of properties in 2016. The previous valuation date of May 2013 was close to the point at which property tax values hit their lowest level. Since then property prices have been rising steadily. According to the latest CSO data house prices in Dublin have risen by 37% in the 17 months since the last valuation date while apartment prices have risen by 43%. Nationally prices have risen by 21% since May of last year.
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Finance spokesperson Michael McGrath said: "Even if there is a slowing in the current rate of growth in property prices, it is likely that the next valuation date will see homeowners having to revise the valuation basis for their property tax declaration by 20% or more. For some Dublin residents it could be over 50%. For most properties, the effect of moving up one valuation band is an extra €90 per year. Some homeowners could see their home rise by three or four valuation bands adding up to €360 to their bill.
"There is widespread concern already that people will find their water bills rising considerably once metering is fully introduced. The prospect of a further increase in property tax bills represents another threat hanging over households. We know from the manner in which the Government have implemented the local property tax that the funds raised will be syphoned away from the provision of local services for which they were intended. People simply do not believe that paying more in terms of local property tax will lead to any improvement in services."
(CD/MH)
