COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL
MEETING OF SOUTH DUBLIN COUNTY COUNCIL
Monday, March 12, 2012
MOTION NO.2
MOTION: Councillor C. Jones
Mayors Business
That this Council further discusses the issue of the NPPR charges and the collection of payments and penalties. Further that this Council makes representation to the Minister and the wider Cabinet about the implications of such charges incurred by families who, owing to financial pressure, leave their principal private residence and continue to maintain the mortgage on their property. This Council believes that a system of exemptions from the NPPR charge should be introduced where it may lead to avoidance of mortgage defaults, applications for family/rent supplement and other hardship cases.
REPORT:
The Non Principal Private Residence Charge (NPPR) was implemented in 2009 in accordance with the Local Government (Charges) Act 2009. www.irishstatutebook.ie/2009/en/act/pub/0030/
Comprehensive information and guidance in respect of the NPPR Charge is also available at www.nppr.ie but the following is a brief summary of the NPPR charge including the legal obligation on individuals to declare liability, provide the relevant information and pay the charge and on local authorities to enforce the provisions of the legislation.
· Section 3(2) provides for a liability date of 31st March for the purposes of ownership of qualifying property.
· Section 3(3) sets the current charge at €200 per annum per non principal private residence
· Section 5 provides that persons who on the liability date are liable to pay this charge, shall make and provide a declaration to that effect to the relevant local authority.
· Section 6 provides that property owners will incur a late payment fee of €20 for each month after the 30th of June that the charge remains unpaid. These penalties continue to apply to each annual charge until it is paid, so a person who defaults on payment will incur penalties of €120 for the first calendar year of the charge and €240 per year thereafter until the payment and penalties are made. The only exception is 2009 when the liability date was 31st July 2009 hence the maximum penalties applicable in respect of 2009 was €40.
· Section 7 of the Act provides that any charge or late payment fee due and unpaid by the owner shall remain a charge on the property to which it relates.
· Section 12 provides that persons found to be guilty of the offence of non payment and non declaration can be held liable to a conviction or a fine not exceeding €2,000.
The Charge is based on self declaration. A declaration of ownership of the property in question by way of registration is necessary when a Householder is paying the charge for the first time on a property. Payment can be made online at www.nppr.ie.
The legislation (amended by the Local Government (Household Charge) Act 2011)provides for the following exemptions from liability to this charge:
1. Principal Private Residences
2. Where a person partly occupies a dwelling as his or her sole or main residence and avails of the Revenue Commissioners’ Rent-a-Room Scheme
3. Discretionary trusts or corporate bodies that are accorded charitable status
4. Where a person is moving house and, in the process, owns two houses for a relatively short period.
5. Joint ownership of a property after a divorce or separation agreement where the second residence becomes the primary residence of one party.
6. Where a person who owns a principal private residence vacates the dwelling in question because he or she is long-term incapacitated as a result of physical or mental illness
7. Where a residence is occupied rent-free by a relative of the owner and the owner resides on the same property or within two kilometres of .the residence in question.
8. Where a landlord and a Local Authority have a signed contract in place under the Rental Accommodation Scheme for a property, on the liability date 31st July 2009 and 31st March 2010 and 2011 the property is exempt from the NPPR charge. This exemption has not been provided for 2012.
The annual NPPR charge is established from a declaration of liability by the property owner, as provided in the Local Government (Charges) Act 2009, so invoices are not issued.
The NPPR Bureau (under the aegis of the Local Government Management Agency) accepts and processes payments in respect of the NPPR Charge on behalf of Local Authorities in the country and promotes an annual media campaign about the charge and liability date. The Dublin Local Authorities also advertise extensively in the national press to advise owners about their potential NPPR liability during the April to June period each year.
If passed, representations will be made to the Minister for the Environment, Community and Local Government and to his ministerial colleagues in accordance with the terms of the Motion.