Q&A

Must I pay 200 tax if I own 50% of house?

Q I own a property with my brother who is resident in England for tax purposes. He owns 50 per cent. The new Non Principal Private Residence (NPPR) tax applies. Do I have to pay €200 or €100? I called the council and they don’t know. They said they would get back to me but haven’t.

AAccording to the Department of the Environment, where a property is liable to the €200 NPPR charge and has two or more co-owners, all the co-owners are jointly and severally liable to pay the charge. How much each co-owner will contribute in respect of the payment of the charge is a matter for co-owners to agree to among themselves. However, no co-owner will have discharged their personal liability until the €200 due in respect of the property has been paid in full. For example, and assuming a property with two co-owners, if one co-owner pays the €200 in full, then the liability is discharged for both co-owners. If they jointly pay the full €200 then the liability is equally discharged. However, if one co-owner pays only €100 (or any amount less than the full €200) and the second co-owner does not pay the remaining amount, then the liability is not discharged and both co-owners are jointly liable for the non-payment and subject to the associated late fees and fines.

Do all owners give details to pay 200 tax?

Q My mother died several years ago and her house remains unsold. Currently a retired relative is living there rent-free. The property was left to myself and my siblings – I assume we are liable for the second home tax, however I’m unsure what information we should provide when paying it – so do we need to give all our names/tax details, and what happens in the case of the two siblings that live abroad? Do I need to give all their details too?

AWhere there are two or more co-owners of a property liable to the €200 NPPR charge, all co-owners are jointly and severally liable. In completing the NPPR declaration form, co-owners can include details of all the co-owners of a property if they wish but only one co-owner's details are required. As long as at least one co-owner has made a declaration in respect of the property and the €200 charge has been paid, then the liability has been discharged for all co-owners. As your relative is living rent-free in the property, it may be relevant to point out that the Local Government Act, 2009 defines an owner of a residential property as being the person(s) entitled to receive rent on that property or, where it is not let, would be so entitled if it were let.

If any legal agreement is in place between the co-owners and the relative living in the property (e.g. an exclusive right of residence for the relative) such that the co-owners are not legally entitled to get rent on the property, then the co-owners do not meet the definition of “owner” contained within the Act and so would not be liable to the NPPR charge in respect of that property.

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