Dáil Éireann Debate, Tuesday - 9 December 2025
320. Deputy Edward Timmins asked the Tánaiste and Minister for Finance if a person is still liable for the residential zoned land tax in cases in which an application for planning permission is refused; and if he will make a statement on the matter. [69950/25]
Amharc ar fhreagraFinance Act 2021 introduced Part 22A Residential Zoned Land Tax (RZLT) into the Taxes Consolidation Act 1997. RZLT is designed to prompt residential development by owners of land that satisfies the relevant criteria for the tax, that being that the land is zoned for residential or mixed-use (including residential) purposes and is serviced.
RZLT is an annual tax, calculated at a rate of 3% of the market value of the land within its scope. Where land is zoned or serviced after 1 January 2022, the tax is first due in the third year after the year in which it comes within scope. The tax was first charged on 1 February 2025 in respect of land which satisfied the relevant criteria on or before 31 December 2022 and was payable in May 2025, subject to certain exemptions and deferrals. The 2026 liability will arise on 1 February 2026 in respect of land which satisfied the relevant criteria on or before 31 December 2023 and will be payable by 23 May 2026.
The objective of RZLT is to activate land for residential development. Where an application for planning permission in respect of a site that is subject to RZLT is refused, development cannot commence and the land remains within the charge to RZLT. However, should a subsequent application for planning permission be successful, RZLT arising in the 12 months after the grant of planning permission may be deferred. Where residential development commences within that 12-month period, the RZLT so deferred will, on the making of a claim, not be payable where development is completed within the timeframe set out in the planning permission and a certificate of compliance on completion is in place to evidence same.
