Ireland's Household Charge Explained.

The Household Charge is an annual charge introduced by the Local Government (Household Charge) Act 2011 which is payable by owners of residential property. It is a matter for owners of residential properties to register and pay the Household Charge on or after the 1st of January 2012.The EU/IMF Programme of Financial Support for Ireland commits the Government to the introduction of a property tax for 2012. We are one of the last countries in Europe that does not fund local services through local property-based charges.

 These services are essential to your community. They include: fire and emergency services; maintenance and cleaning of streets; planning and development; public parks; street lighting; libraries; open spaces and leisure amenities. These facilities benefit everyone. A property tax, requiring a comprehensive property valuation system, would take time to introduce and accordingly, to meet the requirements in the EU/IMF Programme, the Government has decided to introduce a Household Charge in 2012.The Household Charge is an interim measure only and a comprehensive and equitable valuation-based property tax will be introduced as soon as possible.

 What is the household charge?

The EU/IMF Programme of Financial Support for Ireland commits the Government to the introduction of a property tax for 2012. The Programme reflects the need, in the context of the State's overall financial position, to put the funding of locally delivered services on a sound financial footing, improve accountability and better align the cost of providing services with the demand for such services.

In light of the complex issues involved, a property tax, requiring a comprehensive property valuation system, would take time to introduce and accordingly, to meet the requirements in the EU/IMF Programme, the Government decided to introduce a household charge in 2012. The household charge is an interim measure and proposals for a full property tax will be a matter for consideration by the Government in due course.

The Household Charge is an annual charge introduced by the Local Government (Household Charge) Act 2011 / Local Government (Household charge) Regulations 2012 which is payable by owners of residential property. It is a matter for owners of residential property to register and pay the household charge after the 1st of January.

 Does the charge apply to residential property outside of Ireland?

No. The charge only applies to residential properties situated in the State.

 What types of properties are liable for the household charge?

Owners of residential property on the liability date of 1st of January 2012, subject to a limited number of exemptions and waivers set out below, are liable to pay the household charge by 31st of March.

 Does the household charge apply to those who are paying the €200 charge on Non-Principal Private Residences?

Yes. The household charge applies to residential property generally, including those properties that are liable to the €200 charge on Non-Principal Private Residences.

 Is a building divided into flats or bedsits liable for the household charge?

Yes. The household charge is payable by the owner of the building in respect of each unit of residential accommodation. Where a building is divided into a number of flats or bedsits, the charge applies to each flat or bedsit e.g. if the dwelling is divided into four bedsits, four household charges are payable i.e. €100 x 4 = €400.

 Is a house let as one unit to a number of occupants liable for the household charge?

Yes, the charge is €100 for the dwelling.

 What will the household charge finance?

Revenues from the household charge will support the provision of local services. Internationally, local services are administered by local authorities and financed by local service charges. In Ireland, local authorities are responsible for, among other services, public parks; libraries; open spaces and leisure amenities; planning and development; fire and emergency services; maintenance and cleaning of streets and street lighting. These facilities benefit everyone.

 Who is collecting the Charge?

The Household Charge is being collected centrally by the Local Government Management Agency (LGMA) on a shared service basis on behalf of City/County Councils.

Fore more information about the household charge please visit https://www.householdcharge.ie