20,000 yet to pay tax on second homes

Nearly 20,000 second-home owners in Co Cork have not paid the property tax on them — with just 12 days left to pay.

The Non-Principal Private Residence tax is payable by Jun 30, but to date, only 8,570 have paid the annual €200 charge.

Last year, a total of 28,156 people paid the charge, which netted Cork County Council €5,865,800.

However, the latest figures available from the local authority, which administers the collection and benefits from the windfall, showed that less than a third of people had coughed up.

The figures were released by Ger Power, the local authority’s head of finance, after a query was lodged with Cork County Council officials by Cllr Tim Lombard (FG).

He believes the reason for the serious decline in second home owners paying up is twofold.

“I think that people are under the illusion that it is not applicable this year, because it was announced that this tax will be scrapped next year. But they have to pay it this year, simple as that,” Mr Lombard said.

“I think that some may also be under the illusion that because they are also paying the property tax on their primary homes that they don’t have to pay this.”

The money the council gets from the second-home tax is vital to fund its services.

Central government cut back on its funding of local authorities when it introduced the second-home tax, meaning that if it isn’t paid, the county council can’t guarantee it will meet its budget targets.

Since the tax was introduced in 2009 the council has collected €26,639,780.

“We now wonder if we are going to get the outstanding money and if we don’t how that might affect the delivery of some of our services,” Mr Lombard said.

County manager Martin Riordan has previously appealed on a number of occasions to second-home owners to pay the tax because council services could otherwise suffer.

If people don’t pay the tax by the Jun 30 deadline they are liable to penalties of an extra €20 every month.

Mr Power said that people have to pay both the Non-Principal Private Residence tax and Local Property Tax in 2013.

He said that the council sent thousands of reminders last month to people who had previously paid the Non-Principal Private Residence charge.

“Cork County Council utilises reminders as assistance to those who have previously paid the charge,” Mr Power said.

“They are not a means of requesting payment. The legislation clearly puts the responsibility on the property owner to ensure that they are compliant.

“It does not provide for any bills to be issued because it is up to the owner in each instance to declare.”