Owners of residential property who are able to convince the Department of the Environment they are landlords complying with certain standards will not have to pay the new annual 2 per cent anti-speculation property tax.
Tax savings would arise from avoiding the tax which applies to residential property acquired on or after June 15th which is not the principal private residence of the owner.
An owner of residential property valued at £250,000 - this could be one or more houses or apartments - which is not their principal private residence would face an annual tax bill of £5,000 over the next three years.
To qualify as a landlord, the property owner would have to have contracts with tenants, provide them with rent books, make the property open for inspection to ensure it met specific standards, and provide information on the property, the names of tenants and the rent involved, according to a Department spokesperson.
Pending the completion and assessment of the report of the Commission on the Private Rented Residential Sector, to qualify as a landlord an owner will have to comply with the Registration, Rentbooks and Standards Regulations set out in the Housing (Miscellaneous Provisions) Act 1992.
But the commission report - expected within a month - is expected to lead to more onerous regulations for landlords letting residential property.
The new tax is to be collected under the self-assessment system, with owners providing the valuation of the property. The annual valuation date will be April 6th and the tax must be paid by the November 1st following the valuation date.