Donohoe promises ‘modest’ local property tax rise

Finance Minister Paschal Donohoe has said changes to the local property tax will be “modest, understandable and affordable” when they kick in next year.

This is despite repeated calls from the IMF and other international oversight agencies for the Government to increase the rate as a way of broadening the country’s tax base. Mr Donohoe said he understood mounting public anxiety around the local property tax rates as current rates are due for review this year.

Were the same criteria to be reapplied, houseowners across the country would face substantial increases in their bills. However, Mr Donohoe, speaking at Fine Gael’s party meeting in Dublin yesterday, said no such spikes to bills will occur.