THE DEPARTMENT OF Finance has said that an interdepartmental group’s report on the introduction of a property tax to replace the household charge is currently with the Minister for the Environment Phil Hogan.
The group was set up early this year to consider proposals for a property tax.
Recent updates on Ireland’s Memorandum of Understanding – the document which outlines the conditions for the state’s bailout loan with the European Commission, IMF and ECB – have shown that the government plans to introduce the property tax in Budget 2013.
A spokesperson for the Department of Finance said today that the “report on the introduction of a progressive and fair property tax to replace the household charge is with the Minister for Environment”.
“The recommendation will be considered by Government in due course,” the statement added.
“There is no new information or details contained in the EU/IMF documents published on Friday regarding Budget 2013 and the documents mirror the previous Programme documents published in May. The only decision that has been taken by Government regarding the property tax is that it will be administered by the Revenue Commissioners.”
Ministers Leo Varadkar and Pat Rabbit told RTÉ today that no decision had been made at government level on how the tax would be levied. They said that a ‘value-based tax’ did not necessarily mean the value of the property, but could mean the value of the site.