The effectiveness of Ireland’s vacant homes tax (VHT) is being called into question as new figures reveal a significant disconnect between the number of empty properties and actual tax payments collected.
Despite an estimated 82,000 vacant properties across the country, Revenue expects to collect just €1.6 million from the tax in 2024. More concerning still, the number of payments is actually declining, raising serious questions about the tax’s implementation and enforcement.
According to The Irish Examiner, the stark contrast between the high number of vacant properties and the low tax collection has prompted opposition TDs to question whether the tax is effectively reaching those who should be paying it. The figures suggest that only a small fraction of vacant property owners are currently contributing to the tax scheme.
The data points to a potentially significant enforcement gap in Ireland’s strategy to address property vacancy rates, particularly as the country continues to grapple with a housing crisis.