It is understood the proposal, which is still being negotiated as part of Budget 2019, would give landlords a rebate for providing tenants with long-term leases.
However Labour's housing spokesperson, Jan O'Sullivan, hit out at the plan and claimed it "does not address the real causes of our housing crisis".
"Fianna Fáil's plan for tax breaks in exchange for longer leases does not address the real causes of our housing crisis," she said.
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"The issue here is tenants' rights. A tax break for landlords, as opposed to strengthening legal rights for tenants, speaks to Fianna Fáil's priorities. Individual landlords do not operate in the same way as corporate landlords. Giving them a tax break to bring them closer to the tax obligations of a corporate landlord will only serve to help landlords.
"This kind of measure does not address the spiraling cost of rent and tenancy uncertainty which are the primary drivers of the crisis in the rental sector and homelessness."
Continuing, Ms O'Sullivan said questions remain around the workability of the policy.
"How could we guarantee that every landlord who avails of this tax break, and then ends the lease early would notify revenue of their decision and refund the tax rebate?," she said.
(LM/MH)
