NPPR – Property Tax on Non Principal Residences in Ireland

The tax on Non Principal Private Residences ( NPPR ) in Ireland  came into effect in Ireland on 31st July 2009.
The 2013 NPPR charge was €200 –and  it was the same annual  amount every year from 2009 to 2013. The year of 2013 was the final year for the NPPR charge  – it was not charged in 2014.

The 2013 NPPR charge is based upon the ownership and status of the property on the 31st March 2013.  So –  if you owned a property in Ireland on 31st March 2013 and it was not your main residence you will be liable for the NPPR charge.( Non principal private residences).
You will also be liable for the Irish Property Tax  from July 1st 2013 .

Property owners were supposed to  pay the NPPR charge for 2013 on or before the 30th June 2013  to avoid late payment fees.

Although it is sometimes  referred to as a “second home ” tax –  or “holiday home tax”it does not matter if you only owned the one property . If  you were not  using the house as your main residence – then you were liable for the NPPR .

A late payment fee of €20 a month was payable after a further month  expired i.e three months after the liability date and one month after the last date for payment. There is a one month grace period – so all 2013 charges paid after 30th June 2013 will attract a late payment fee of €20 a month.

Latest info on NPPR in 2014 Here
See the latest information on NPPR and Penalty Charges Here (July 2014)

The  “NPPR” charge was aimed at  property that anyone owns in Ireland that is not used by them as their principal residence. You did not have to own two homes to be liable for this charge. You could be living in a rented house or living abroad while the home you own is empty or you have tenants in it.
The  NPPR charge was  the same for all properties – regardless of size, location or value.

The  NPPR charge applied to every residential property owned by a person which was not the principal or main residence of the owner. This included any house, maisonette, flat, apartment or bedsit.

The legislation for NPPR  (Local Government (Charges) Act 2009 ) is structured with a starting position of a universal liability for all residential dwellings in respect of the charge. It then goes on to exempt certain buildings and owners from this liability.

The main exemption is for principal private residences. No person can have more than one sole or main residence. If you are renting a home and own another property – you are still liable for the NPPR. You don’t have to own more than one house to be liable.

Note : A property that is not suitable for use as a dwelling should not be regarded as dwelling within the meaning of the act . ( A temporary cutting off of the electricity or water supply does not make a property unsuitable)

Other NPPR Exemptions: according to

a) Where a person partly occupies a dwelling as his or her sole or main residence, and avails of and is entitled to the Revenue Commissioner’s Rent-a- Room Scheme, no liability for the NPPR charge will apply.

b) Properties owned by Charities are exempt.

c)Properies that are liable for commercial rates were not  liable for the NPPR.

d)There was also an exemption for Newly Constructed but Unsold Buildings – that are vacant and  have never been occupied that form part of the stock of a business.

Properties in the Rental Accommodation Scheme were  exempt at thes tart of the NPPR  – but that exemption was  withdrawn from Jan 2012.

There were also limited exemptions where a person is moving house and  temporarily  owns two houses for a  short period.

Property Owners had to register properties and pay the charges online at the  website by credit or debit card.

Property owners  could also  register and pay at your local council offices using an  NPPR registration form. The payment types accepted wil be credit card, debit card, bank draft, postal order and cheque. Over the counter payments incurred a €10 fee from Jan 2012

Late Payment Fees : if the NPPR  charge is not paid within a month after the last date for payment, a late payment fee of €20 will apply for every month or part of month that the €200 Euro charge remains unpaid.

Landlords Note: Information from Revenue Dept  is that the €200 charge is not an allowable expense for calculating rental income.

Property Registration:
It seems that the onus is on property owners to register any properties that are not their principal residence.  There is no national housing / address database in Ireland – so it is probably going to be difficult for the local authorities to determine which properties are actually non principal private residences.
The Local Government Charges Bill 2009 allows for the use of information from the Private Residential Tenancies Board , the Revenue department  and ESB to assist in the identification of non principal residences. There are probably many landlords who are not even registered with the PRTB – so there may be many rented properties that will be missed unless the owner voluntarily registers them.

  Household Charge –  was introduced in January 2012   All owners of residential property were liable fo this  –  even those who already pay NPPR .  It only lasted for a year and was  replaced by the Property Tax)