Non Principal Private Residence Charge

Added: Friday, October 18, 2013

The Non Principal Private Residence charge (NPPR) was introduced in 2009 under the Local Government (Charges) Act, 2009. The charge was introduced as a form of property tax on residential properties in the State which do not comprise the owner’s only or main residence. Accordingly where you own more than one home or if you own a residential property but do not occupy it as your principal private residence you are liable to pay the NPPR charge. The charge also applies to individuals who live abroad but own a residential property in Ireland. If you own multiple investment residential properties it is important to note that the charge applies to each and every property and it is up to you as the owner to ensure that each property is registered for the charge. There are some exemptions to the charge and these are detailed on the website

If you are unsure as to whether you are liable for the charge we at John Nash Solicitors can assist you in determining if you have a liability. The NPPR charge is €200 per annum for each property you own. To be liable for the charge in any given year you must be the legal owner of the property on the 31st March of that year. The charge is then payable on or before the 30th June of the same year.

A penalty or late fee of €20 is charged for each month, or part of a month, after 30th June that the charge remains unpaid. If you have not registered your property or properties for the charge it is important to do so at the earliest opportunity as the late fees and penalties continue to accrue until the liability is discharged and with no provision in the Act for these fees and penalties to be waived you could be faced with a substantial bill for the unpaid charge, fees and penalties. We here at John Nash Solicitors can assist you in calculating what your overall liability may be.

The NPPR charge will be abolished on the 1st January 2014 and will be replaced by the new Local Property Tax which was introduced in 2013 but outstanding liabilities and payments will continue to be collected. If you intend to sell a property which is liable for the NPPR charge it is important to note that the charge remains as a charge on the property until the liability is discharged in full. This means that you must provide a purchaser with evidence that the NPPR charge has been paid in full for the entire period that it was liable for the charge. It may be necessary to discharge the NPPR charge from the proceeds of the sale of the property if the charge is overdue and the arrears are substantial. We at John Nash Solicitors, Loughrea, Galway will be happy to discuss any queries you may have regarding the NPPR charge and guide through the implications of selling a property which is subject to the charge. Contact us today to arrange an consultation.