Background to Residential Zoned Land Tax

The Government’s Housing For All – A New Housing Plan for Ireland proposed a new tax to activate vacant land for residential purposes as a part of the Pathway to Increasing New Housing Supply.

The Residential Zoned Land Tax (RZLT) was introduced in the Finance Act 2021. The process to identify land to which the tax applies is now underway and the tax will be payable from 2024.

The objective of the tax is to activate land that is serviced and zoned for residential use or mixed use which includes residential use, in order to increase housing supply and to ensure regeneration of vacant and idle lands in urban locations. These locations have been identified within statutory land use plans as being appropriate locations for housing and they have benefitted from investment in the key services to support the delivery of housing.

The RZLT process has two parts

1) Identification and Mapping of the land in scope for the tax. This is undertaken by local authorities through the publication of Draft and Supplemental Maps

2) Administration of the tax, which is to be undertaken by the Revenue Commissioners from 2024 onwards.


Criteria for Inclusion of Lands in RZLT Map

Section 653B of the Taxes Consolidation Act 1997 (as amended by the Finance Act 2021) sets out the relevant criteria for inclusion of lands in the RZLT Map. The legislation states that land which satisfies the relevant criteria is land that—

(a) is included and zoned in a development plan as:-

(i) solely or primarily for residential use, or

(ii) for a mixture of uses, including residential use,

(b) is considered may have access, or be connected, to public infrastructure and facilities, including roads and footpaths, public lighting, foul sewer drainage, surface water drainage and water supply, necessary for dwellings to be developed and with sufficient service capacity available for such development, and

(c) is considered not affected, in terms of its physical condition, by matters to a sufficient extent to preclude the provision of dwellings, including contamination or the presence of known archaeological or historic remains, but which is not land—

(i) that is zoned solely or primarily for residential use and which is not unauthorised development (within the meaning of the Planning and Development Act 2000), is in use as premises, in which a trade or profession is being carried on, that is liable to commercial rates, that it is reasonable to consider is being used to provides services to residents of adjacent residential areas,

(ii) that is zoned for a mixture of uses, including residential use, unless it is reasonable to consider that the land is vacant or idle,

(iii) that it is reasonable to consider is required for, or is integral to, occupation by—

(I) social, community or governmental infrastructure and facilities, including infrastructure and facilities used for the purposes of public administration or the provision of education or healthcare,

(II) transport facilities and infrastructure,

(III) energy infrastructure and facilities,

(IV) telecommunications infrastructure and facilities,

(V) water and wastewater infrastructure and facilities,

(VI) waste management and disposal infrastructure, or

(VII) recreational infrastructure, including sports facilities and playgrounds,

(iv) that is subject to a statutory designation that may preclude development, or

(v) on which the derelict sites levy is payable in accordance with the Derelict Sites Act 1990.

Identification of Land Liable to RZLT and Display of Draft Map

Monaghan County Council has prepared a Draft Map of the lands considered to be in scope for the RZLT as of 1st October 2022.

The area of lands identified is set out in the table below.

Type Area (Ha)
In Scope (Existing Residential) 479.386
In Scope (Residential) 343.022
In Scope (Mixed Use) 60.9819
Total 883.3899

The Draft Map is available to view online by clicking on the link – RZLT Draft Map Viewer

This link will bring the viewer to a central set of co-ordinates in County Monaghan, via the OSI GeoHive RZLT feature and will display the land in scope along with the County Council administrative boundary.  The person accessing the viewer will be able to zoom in and out and will be able to see the dataset for the whole of the State.

The Draft Map is also available on public display at the following locations and times specified:

Planning Offices – 1 Dublin Street, Monaghan H18 X982 (Monday to Friday 9.15am-1pm and 1.30pm-5pm)

County Offices – The Glen, Monaghan, H18 YT50 (Monday to Friday 9.15am-1pm and 1.30pm-5.15pm)

Municipal District of Ballybay-Clones Offices – Market House, The Diamond, Clones H23 X378 (Monday to Friday 9.15am-5.15pm)

Municipal District of Carrickmacross-Castleblayney Offices – Civic Offices, Riverside Road, Carrickmacross A81 RY22 (Monday to Friday 9.15am-5pm)

When a person clicks on a site identified as being in scope for RZLT they will see the following field names:-

  • the Parcel ID
  • the CSO standard local authority classification;
  • the date added, where that date is not 1st January 2022;
  • The land use zoning;
  • The land use zoning description;
  • The GZT zoning;
  • The site area;
  • The status;
  • Whether it is a live site.

Any interested individuals or parties may make submissions in respect of land on the Draft Map as set out in detail below.

Although residential properties are included on the Map, they are not subject to RZLT if they are subject to Local Property Tax. Therefore, it is not necessary to make a submission to remove this type of residential property from the Map. Refer to the advice for homeowners at the end of this page.

 Making a Submission

Submissions can be made by the public on the Draft Map from November 1st 2022 until January 1st 2023. These submissions can:-

  • challenge the inclusion of particular lands on the Draft Map if the owner considers that those lands do not meet the criteria set out within the relevant legislation;
  • challenge the date on which the land is considered to meet the relevant criteria and thus to be in scope;
  • request a change of zoning;
  • identify additional land which appears to meet the criteria and so may fall into scope and may be placed on the supplemental Map.

Any submission must clearly identify the site and outline what change (i.e. inclusion or exclusion of land on a local authority Map, or the date on which the site first met the criteria for inclusion on the Map) to the Residential Zoned Land Tax Mapping is being sought, as well as provide a justification for the change sought.

The submission must state the criteria set out in Section 653B of the Taxes Consolidation Act 1997 which is being relied upon in the submission for the land being in or out of scope. The local authority may request additional information after the receipt of the submission (e.g. proof of ownership or further information).

Valid submissions must be submitted to the Planning Section of Monaghan County Council. If submitting a paper copy this must be received by the Planning Office at 1 Dublin Street, Monaghan H18 X982 by 4pm on 23rd December 2022 as the offices are closed from 24th December 2022 to 3rd January 2023. If submitting electronically the submission must be sent to rzlt@monaghancoco.ie by 1st January 2023.

Landowner Submissions

If a submission is being by a landowner or on behalf of the landowner, it is important to include in the submission the following:-

  • Landowner’s name and address (and that of anyone acting on behalf of the landowner if the point of contact)
  • An Ordnance Survey Map showing the property at an appropriate scale, 1:1000 (urban areas) or 1:2500 (rural areas) suitable to identify the land in question. Please note the local authority may request proof of site ownership.
  • Information / matters which demonstrate that the land is not in scope for the tax, or that the date which the land was considered in-scope is not correct and should be changed.
  • Reference to criteria in Section 653B of the Taxes Consolidation Act 1997 along with evidence for consideration by the local authority to support any claims regarding the serviced nature of the land or any exclusions which should be applied. These criteria must also be referenced if the submission seeks to include additional land on the Map.
  • Any justification for inclusion or exclusion of land, reference to the criteria in the legislation.
  • Where a land use zoning change is sought, why the change in zoning is in the interest of the proper planning and sustainable development of the area, as well as any other circumstances which the landowner may wish to bring to the local authority’s attention. Please note that a submission requesting a change in zoning can only be made in relation to land that is already on the Map.

Third Party Submissions

A third party submission is one which refers to land that is not owed by the person making the submission. Third parties cannot make a submission in relation to zoning. A third party submission should include:-

  • Name and address of person making the submission
  • Information to identify the land – either a written description, an Eircode or a Map with the area outlined. Where the local authority cannot identify the land they may not be able to take the submission into account.
  • For land on the Map, matters which demonstrate that the land is not in scope for the tax, or that the date which the land was considered in-scope is not correct and should be changed.
  • If the land is not currently on the Draft Map, if the submission is recommending that it should be considered in scope for the tax
  • Reference to criteria in Section 653B of the Taxes Consolidation Act 1997 along with evidence for consideration by the local authority to support any claims regarding the serviced nature of the land or any exclusions which should be applied. These criteria must also be referenced if the submission seeks to include additional land on the Map.
  • Any justification for inclusion or exclusion of land, with reference to the criteria in the legislation.

 

Format of Submissions

In respect of making any submission, either by the landowner or a third party, the following should be noted:-

  • The personal information (data) collected during the consultation process is collected for the purpose of receiving and dealing with submissions.
  • Contact details provided may be used to contact a person or persons who claims to be the landowner of a particular site. This will be to request evidence as is necessary to prove their ownership of the site in accordance with Section 653D(4) of the Taxes Consolidation Act 1997, or request further information from the landowner in accordance with Section 653E(2) of the Taxes Consolidation Act 1997.
  • A local authority may, where it considers it necessary for the purposes of making the determination, within 21 days from the date referred to in Section 653D(1) of the Taxes Consolidation Act 1997, request further information from Irish Water, the Transport Infrastructure Ireland or from a person referred to in article 28 of the Planning and Development Regulations 2001 (as amended).
  • Please identify any parts of the submission which contain personal or commercially sensitive data which should not be published.

For further information on how Monaghan County Council processes Personal Data please click on the link below:-

RZLT Submissions Privacy Statement

 

A template for making submissions can be downloaded by clicking on the link below:-

Submission Template 

 

Inclusion on Supplemental Map

A supplemental Map will be published on 1 May 2023 identifying additional land considered to be in scope as a result of a change of zoning, servicing, or where the local authority becomes aware of the fact that land which wasn’t included on the Draft Map, may meet the criteria for being in scope, such as where this has been identified during submissions. The supplemental Map will also be placed on public display and open to submissions which may challenge the inclusion of additional land on the Map.

Appealing a Decision

A landowner has until 1 May 2023 to appeal the local authority decision regarding submissions made in respect of the Draft Map to An Bord Pleanála and until 1 September 2023 to appeal the local authority decision regarding submissions in respect of the supplemental Map. Appeals must be made in writing setting out the grounds of appeal. There are no provisions for a third party to appeal a local authority decision to retain or remove land from a Draft or supplemental Map.

Final Map of Lands in Scope for RZLT

Land indicated as being within the scope of the RZLT on both the Draft and supplemental Maps, as amended to take into account the outcome of submissions made in respect of the land on these Maps, will be included on the final Map of land in scope for the tax that will be published on 1 December 2023. This land will be subject to the tax unless it is exempt as a residential property, as outlined above.

Next Steps

All written submissions will be evaluated and a written determination will be made regarding submissions by landowners. The key steps taken prior to publishing a final Map include, but are not limited to the following:-

Draft Map

  • Submissions received in relation to the Draft Map will be published on the local authority website by 11th January 2023. Personal data within the submission will be redacted, but the location of lands to which the submission relates will be published along with the grounds of the submission.
  • Where a landowner requests the exclusion of their site from the Draft Map on the basis that it does not meet the criteria for being in scope, or challenges the date from which land on the Map met this criteria, the landowner will be notified of the decision not later than 1st April 2023.
  • An appeal of the decision on a landowner’s submission on the Draft Map, must be lodged by the landowner with An Bord Pleanála by 1st May 2023.
  • Where a person has requested the addition of a site to the Draft Map and it is considered that the site in respect of which submissions have been made or based on the information available to the local authority, constitute lands satisfying the relevant criteria, then these sites will be identified on a supplemental Map of land in scope for the tax which will be published on 1st May 2023.

 

Supplemental Map

  • Submissions in respect of land identified on the supplemental Map only must be made by 1st June 2023.
  • Submissions received in relation to the supplemental Map will be published on the local authority website by 11th June 2023. Personal data within the submission will be redacted, but the location of lands to which the submission relates will be published along with the grounds of the submission.
  • Where a landowner requests the exclusion of their site from the supplemental Map on the basis that it does not meet the criteria for being in scope, or challenges the date from which land on the Map met this criteria, the landowner will be notified of the decision not later than 1st August 2023.
  • An appeal of the decision on a landowner’s submission on the Supplemental Map, must be lodged by the landowner with An Bord Pleanála by 1st September 2023,
  • The local authority must, reflecting the outcome of any appeals to the Board, any additions or exclusions to Maps on foot of determinations made in response to submissions made or changes in zoning, prepare and publish a final Map by 1st December 2023.Where a landowner has requested a change to the zoning of their land, the Local Authority shall evaluate the submission and consider whether to propose the making of a variation. (An initiation of the variation process will only take place after evaluation of any requests for change of zoning made in relation to the Draft and supplemental Maps in order to allow all requests for changes to zoning to be considered together)

Further Information about the Mapping and Submissions Process

The RZLT Map as prepared and published includes lands that meet the relevant criteria for inclusion on the Map as set out in the legislation. The administration of the RZLT is a matter for the Revenue Commissioners. 

Answers to some frequently asked questions about the RZLT and how to make a submission can be viewed by clicking on the link below. If your query relates to a particular area of land or if the answer is not contained in the document below, please contact the RZLT Team in the Planning Section.

RZLT – Your Questions Answered

The legislation underpinning the RZLT may be found at Part 22A of the Taxes Consolidation Act 1997.

Guidance issued by the Revenue Commissioners in respect of the administration of the tax may be found here

The Residential Zoned Land Tax – Guidelines for Planning Authorities, as prepared and published by the Department of Housing, Local Government and Heritage to aid planning authorities in publishing the Maps provides further information on the process and can be viewed by clicking on the link below:-

Residential Zoned Land Tax Guidelines

As outlined above, the RZLT process has two parts. Local authorities are required to undertake the Mapping which identifies the land which is subject to the tax, including an annual update of the Final Map which will be published on 1 December 2023. Thereafter, the administration of the tax will be undertaken by the Revenue Commissioners.

As the local authority does not administer the tax, all queries regarding the administration of the tax should be directed to the Revenue Commissioners.

Queries on the Mapping should be made to the RZLT Team in the Planning Section of Monaghan County Council by sending an e mail to rzlt@monaghancoco.ie or by telephoning 047 30532. This includes queries on:-

  • Criteria for inclusion on Draft Map
  • Submissions on Draft Map
  • Determinations on Draft Map
  • Supplemental Map
  • Submissions on supplemental Map
  • Determinations on Supplemental Map
  • Zoning submissions
  • Appeals (which must be submitted to An Bord Pleanála)
  • Final Map
  • Annual revised Final Map

Queries on administration of the tax should be made to the Revenue Commissioners website

This includes queries on:-

  • What constitutes a relevant site for the purpose of RZLT
  • Liable persons
  • Amount of residential zoned land tax
  • Obligation to register
  • Obligation on liable person to prepare and deliver return
  • Abatements
  • Deferral of residential zoned land tax

 

Advice for Homeowners

My house and garden is contained on the Map. What is the consequence?

Your house and garden is identified on the Map because it meets the criteria for the tax, which is based on residential led zonings and servicing by infrastructure suitable for provision of housing.  The house and garden are not liable for the tax, as long as the house is subject to Local Property Tax (LPT).

Do I need to make a submission?

It’s not necessary. Even if your house is identified on the Maps, residences are not liable for the tax where they are subject to LPT.

 What if my garden is greater than 0.4047ha (1 acre)?

If your garden is greater than this size, then you need to register for the RZLT with the Revenue Commissioners, however your house and garden will not be liable for the tax. You will be able to register for RZLT from late 2023 onwards. No action needs to be taken to register at this time.  Please refer to www.revenue.ie for details closer to the time.