An increase in the Local Property Tax may be on the way to Kilkenny next year
Kilkenny homeowners look set to face an increase in the amount of Local Property Tax they pay next year, with local councillors due to decide on varying the basic rate on Monday.
The council executive is seeking an increase of 15% on the rate, and it’s understood there is support among some councillors for an increase of some kind.
While Dublin yesterday voted to maintain its current rate of LPT, councils in neighbouring south-east counties such as Tipperary and Laois, have voted to increase theirs in recent days. The last three years, Kilkenny has maintained the basic rate without increase or decrease.
However, that may be set to change next week, as while the council’s balance sheet is in a strong position, reserves have been used up over the last five years. There are also outstanding commitments on completed capital projects.
The council has said there is a funding shortfall for 2018 of €1.8 million, and the LPT is the only option available to the council to raise additional income in 2018.
An increase of 15% in the rate would yield the council an additional €1.1 million. Around 90% of properties in Kilkenny fall into the €200,000 or less tax band,
Five submissions were made by the public during the consultation process, all of which called for the members to consider decreasing the basic rate.