Ireland to Introduce New Derelict Property Tax in 107 Urban Areas
Ireland will introduce a new Derelict Property Tax in 107 urban areas, replacing the current levy. Finance Minister Simon Harris will present the plan, aiming to address property vacancy and dereliction. The tax, collected by Revenue, seeks to encourage owners to bring properties back into use.
Ireland plans a new Derelict Property Tax to replace the existing derelict sites levy, aiming to tackle long-standing vacancy issues. Tánaiste and Finance Minister Simon Harris will present proposals to the cabinet on Tuesday. This tax will be collected directly by Revenue.
The measure will initially apply in 107 urban areas with populations over 4,000, including Dublin, Cork, Limerick, Waterford, Galway, Drogheda, Dundalk, Navan, and Sligo. A second phase will extend it to 64 additional towns with populations over 2,000, covering a total of 171 areas.
Harris stated that local authorities had «badly failed» in administering the current 7% levy. The new tax, expected to be no lower than 7% of a property’s market value, will be self-assessed and enforced by Revenue. The government aims to encourage property use, not primarily to raise revenue, citing nearly 19,500 residential derelict properties by the end of 2025.