Are you ready for the new LPT Valuation Date?

PSC Accountants & AdvisorsTax News Are you ready for the new LPT Valuation Date?

Are you ready for the new LPT Valuation Date?

The next valuation date for local property tax (LPT) is 1 November 2021.  Taxpayers will be required to self-assess the value of their own property.


Revenue will contact 1.4 million property owners on their LPT obligations in the coming weeks and has provided an interactive valuation tool on their website for guidance on valuing a property.


The valuation determined on 1 November will apply for the four-year period from 2022 to 2025 and will serve to determine the LPT charge for taxpayers for those years.


LPT returns are due by 7 November 2021.


The expectation is that the majority of taxpayers who have been paying LPT up to now will, at worst, have a modest increase in their liability.  The vast majority of the expected yield of €560m is expected to come from taxpayers who had been exempt up to now.


What needs to be done for 2022?


Taxpayers must do the following three things to meet their LPT obligations for 2022:


  1. Determine the market value of residential property at 1 November 2021;
  2. Submit an LTP return, including the valuation determined on 1 November 2021, by 7 November 2021; and
  3. Pay or make payment arrangements for the 2022 LPT charge.


Revenue is issuing letters in advance of the valuation date, which will include the taxpayers property ID and pin for accessing LPT online.


If a taxpayer has not used the LPT online service for previous years, they will be issued with a paper Form LPT1.  Taxpayers who are liable to LPT on more than one property, and those with a property valued at greater than €1.75 million must submit their return online.  Further information on submitting an LPT return is available on the Revenue website.


Taxpayers with vacant properties and those claiming an LPT deferral must also submit an LPT return by 7 November 2021.


Valuing a property


Revenue have developed an interactive valuation tool which indicates the average valuation band for properties by ‘Small Areas’. Small Areas are compiled by the National Institute of Regional and Spatial Analysis, on behalf of the Ordnance Survey Ireland.