LPT question

wildchild247

Hello

I am in the process of purchasing property and the solicitor insists that I pay for the LPT tax in full for 2022.

I am not the owner and I do not know why I have to pay the full amount?

The solicitor is insistent as I wanted to pay the LPT through the revenue website like you would normally.

Do I have to pay the full amount even though I am not the owner? and if I pay now whose name will be on the LPT mine or the current owners?

Thank you

Atlantic Dawn

Whoever owns the property on 1st November is responsible for the LPT the following year. If you owned the property on 1st November 2021 you would be responsible for the 2022 charge, as you are in the process of buying it the current owner would be responsible.

If you are the owner or joint owner of a residential property on 1 November 2021, then you are liable for Local Property Tax (LPT) for 2022 for that property. You are liable for LPT even if you do not usually live in the property.

https://www.revenue.ie/en/property/local-property-tax/who-is-liable-for-lpt-and-or-household-charge/index.aspx

Allinall

Above is correct.

However, it would be normal for the purchaser to cover the part of the year they own the property. this would be included in the contract.

Say the sale closes on 31st March 2022, the purchaser would pay the purchase price + 75% of the LPT.

Perhaps this is what the OP's solicitor meant?

wildchild247

Thanks for the advice that makes complete sense but why is the solicitor adamant about paying it in full?

I've asked several times for an explanation but got fluff over and over again.

They won't proceed without the sale until I pay in full.

That is the part I do not understand.

Allinall

Is it your solicitor or the seller's that is looking for you to pay in full?

dublin49

https://www.boards.ie/discussion/comment/118366635#Comment_118366635

in the scheme of things its small beer and you shouldnt let it hold up the process,buying a house is mostly the biggest purchase of your life,why make an issue over something as insignificant as LPT when you are probably liable for 11 months of 2022 anyway.

wildchild247

https://www.boards.ie/discussion/comment/118366642#Comment_118366642

Thank you. The solicitor is looking for me to pay in full, they never mentioned the sellers and said that I can't proceed until it is paid in full.

Stratvs

As Atlantic Dawn has said the owner at 01/11/21 is responsible for 2022 LPT. They must ensure that is paid even if the property is being sold. If you have occupancy on say 01/01/22 then ultimately you will have owed it anyway. By it being paid now the seller ensures their obligations are met and your ultimate 2022 liability are also met. You'll have many years to come to be paying it directly yourself I'm sure. Deal with it, get the sale closed and enjoy your new home.

It's probably being pushed from the seller and then their solicitor is pushing it to your solucitor

If you get the keys in the next month or two why would you mind paying lpt for 2022 in relation to a house you will own and be living in for practically all of the year.

How much is it?

If I was the seller I would expect you to pay also.

As previous poster said is it really a material amount?

wildchild247

https://www.boards.ie/discussion/comment/118368054#Comment_118368054

Thank you all for the replies. I agree that it is being pushed from the seller and then to my solicitor.

Right now there has been several delays with the closing and I am stuck in limbo for the past year so I won't be getting the property soon and it is a substantial amount so I want to be sure just in case that it gets delayed another year and I still don't own the property.

wildchild247

Just to let you know what happened I cancelled the offer with the previous house they were a bunch of cowboys and currently buying a new house I can't deal with house owners again. I got shafted from the previous house owners with the LPT and both solicitors said I cannot get my money back because I did not have to pay, it was only a suggestion. Total F***ing BS and I am no longer using my previous solicitor.

They're a bunch of cowboys Ted!!!

Jamie2k9

Hi all,

One of my parents has two houses. One was exempt from LPT for a number of years and became liable in 2022 and they have paid since introduction for the other one.

Property 1 which has tax paid for the last number of years is the address of the second property which was exempt and property 2 is showing all the payments when it should be showing no payments. I have no way of telling if the post codes were entered incorrectly on either property of if the issue is with the property IDs that are wrong.

I presume Revenue might have a way of finding out? The problem is I cannot talk to them and not sure they will understand the issue easily.

Looking back at previous filing receipts there was no post code so it might be a case of when they added the post codes in 2021 they did them wrong.

Anyone have the same issue before?