Average Dundalk homeowner could face Local Property Tax increase of €180 next year
The average homeowner in Dundalk could see their Local Property Tax increase by €180 next year.
That’s according to research published in the Irish Independent today.
The tax is currently based on the market value of a home at its 2013 value. Back then the average home value in Dundalk was €108,000, which equated to annual Local Property Tax payment of €225.
However, figures from the CSO from last October show that the average property value in the town now stands at €225,000. This would result in the tax being owed by homeowners jumping to €405 per annum.
The 2013 valuations will no longer apply next year meaning homeowners face paying more in 2020 following a steady rise in property prices in recent years.
The Local Property Tax (LPT) is assessed at 0.18pc of its market value. It is designed to fund local services, and replaces direct exchequer funding for local authorities.
For properties valued at over €1m, the first €1m is based on a 0.18pc multiplier and the balance at 0.25pc.
Earlier this week it was revealed that a total of €9 million was collected in Local Property Tax in Louth last year from 50,500 contributions.
The amount collected in Louth works out at just over €178 per household.
Despite this Louth had one of the lowest compliance rates in the country at 95.6%. Only Donegal (93.3%), Dublin City (94.4%) and Leitrim (95.5%) had lower compliance rates.
A total of 34.8% of householders in Louth said their property was valued between €0 and €100,000 when the assessment was made in 2013. A further 29.4% said their property was valued at between €100,001 and €150,000 with 24% between €150,001 and €200,000.
This means 88.2% of householders in the county valued their properties at €200,000 or less.
A further 7.1% said their property was valued at between €200,001 and €250,000 with 2.5% valuing theirs at €250,001 and €300,000. Just 2.2% said their homes were valued at €300,000 or more.
The amount taken in by the Local Property Tax in Louth last year is down €100,000 on 2017 when 50,400 properties contributed.