Household Charge Exemptions and Waivers

Calendar March 26, 2012 | Posted by Money Guide

The legislation to bring in the new property tax known as the Household Charge came  into effect on January 1st 2012. More details about Household Charge payment and penalty charges here.

Owners of residential property are  liable for the Household charge on each residential property they own as at 1st January 2012. Tenants are not liable.

One of the main areas of controversy is the fact that many people on low incomes or Social Welfare will have to pay the new charge  at the same rate as people earning €100,000 a year or more. The only income related exemption is for those  on Mortgage Interest Supplement.

Which Properties Will Be Exempt from the Household Charge ?

Mobile Homes will be exempt.

The following buildings are not defined as residential property and will not be liable for the charge : Buildings that are….

• Part of the trading stock of a business and from which no income has been derived since the building’s construction, and has never been used as a dwelling.

OR vested in certain public authorities ( includes property under the Shared Ownership Scheme  where the local authority still retains an ownership stake) ;

OR owned by voluntary housing bodies;

OR wholly used as dwellings and liable for commercial rates

An owner of a residential property is exempt from the household charge if , on the liability date, the residential property is:

• Comprised in a discretionary trust;

OR  Owned by an approved charity;

OR Vacated by the owner by reason of long term mental or physical infirmity.

If your property falls into one of the exempt categories – you do not need to register it for the Household Charge

Which People Will be Given a Waiver

The following households will have the charge waived :

1. Those in receipt of mortgage interest supplement – (about 18,000 households)

2. Those in certain unfinished housing estates (Estimated to be less than 1300 estates)
List of Unfinished Estates Available Here

Those who qualify for one of these 2 waivers still need to register the property for the Household Charge

No other Waivers Apply – people on welfare and pensions are expected  to pay.

Category Categories: Exemptions, Household Charge, Household Tax, Welfare Benefits  |  Tag Tags:  |  Comments Leave a reply

169 Comments

  1. Rosanna Byrne says:
    April 4, 2012 at 17:18

    I live on an estate that has been left unfinished but is not on the list. The residents committee has been in contact with the county council who confirm the estate is unfinished but the developers have gone into liquidation. We are waiting for the county council to finish the estate. Do I have to pay? plans confirm the development has not been finished

    Reply
    • Money Guide says:
      April 4, 2012 at 17:45

      Rosanna – if your estate is not on the list – then you are liable for the charge. This point has been raised in the Dail several times – and Minister Hogan has always stated that the lists of unfinished estates are fixed for 2012 – no changes will be made to them.

      Reply
  2. susan says:
    April 4, 2012 at 18:06

    Hi i bought my second home in 05 and am getting interest relief until the end of this yearon the property the estate is also listed as not finished by the local council which i here is exempt from making my 100 euro payment.. my second property is also lived in by myself part time as its near my work and i work nights alot my sister whom lives with me full time she is unemployed and does not have funds to help me pay my morgage she pays towards the bills each month and buys the food for us both, what charges am i liable for?

    Reply

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