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How Vacant Homes Tax (VHT) applies

  1. Overview
  2. When does VHT apply to a property?
  3. Who is the chargeable person?
  4. Rate of Vacant Homes Tax (VHT)

Rate of Vacant Homes Tax (VHT)

Note

Changes to this information were announced by the Minister for Finance in his Budget speech on 1 October 2024. For further information, please see Budget 2025.

The first chargeable period for VHT was 1 November 2022 to 31 October 2023. The rate of VHT for this period is three times the basic rate of Local Property Tax (LPT) for 2023. The second chargeable period for VHT was 1 November 2023 to 31 October 2024. The rate of VHT for this period is five times the basic rate of LPT for 2024.

The third chargeable period for VHT is 1 November 2024 to 31 October 2025. Budget 2025 announced that the rate of VHT for this period will be seven times the basic rate of LPT for 2025.

Your basic rate of LPT can be increased or decreased by your Local Authority. This is known as the Local Adjustment Factor (LAF). Your VHT is calculated on the LPT basic rate before any adjustment to take account of the LAF is made.

If you revise your property valuation for the purposes of LPT, then your liability to VHT will also change.

For information on how your LPT charge is calculated, please see How your LPT charge is determined.

  • Example 

    Amy lives in a house in Tralee purchased with an inheritance from the estate of her late mother. Prior to moving to Tralee, Amy owned and lived in a one-bedroom apartment in Limerick. This apartment has been vacant since Amy moved to Tralee. Amy intends to retain the apartment for her children to use when they are old enough to attend college. She has decided not to rent the apartment.

    The apartment was valued at €250,000 on 1 November 2021. Amy’s base rate of LPT is €225. Limerick City and County Council have applied the LAF, increasing her LPT liability by 15% to €258. However, this adjustment is not relevant for VHT. 

    For the first chargeable period from 1 November 2022 to 31 October 2023, Amy's VHT liability is three times her base rate of LPT of €225. This means her liability to VHT is €675 (€225 x 3).

    For the second chargeable period from 1 November 2023 to 31 October 2024, Amy's VHT liability is five times her base rate of LPT of €225. This means her liability to VHT is €1,125 (€225 x 5).

    For the chargeable period from 1 November 2024 to 31 October 2025, Amy's VHT liability is seven times her base rate of LPT of €225. This means her liability to VHT is €1,575 (€225 x 7).

Published: 05 November 2024 Print this page

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