A CALL for the exemption of owner occupiers of listed buildings from the property tax was made by Independent Senator David Norris, in the Seanad yesterday. Speaking on the Committee Stage of the Finance Bill, which was passed, he compared the tax to the vicious practice of the 19th century landlords in rack renting their tenants.
That was a process, be said, under which every time a an unfortunate tenant managed to increase the value of his/her holding through good maintenance, he was automatically penalised by the landlord. This was reflected in an increased valuation of his property and thus a parallel increase in the tenant's rent.
Senator Norris said that because of their refurbishment and improvements, a number of tourists were coming to see these listed buildings of historical value and they, the tenants, were being punished by increased taxes.
The Minister for Finance Mr Quinn, said he was examining measures he could include in next year's Budget that would meet the Mr Norris's concerns. He also offered to meet Mr Norris and other leading figures in the conservation lobby.
Mr Norris believed the property tax regime would disintegrate in the next 12 months. There would probably, he said, be an election next November. The property tax would bite hard next October, in the immediate run up to the election.
Seventy per cent of the yield nationally would come from three Dublin constituencies which would play a crucial role in the election outcome. Given there was already widespread opposition to the tax, it would be wise of the Government to accept the inevitable and abolish the property tax.
He added that the net yield from the tax was about £10 million and should the Government not consider, he asked, whether winning the next election was worth £10 million.