The IPOA Pre-Budget Submission has been submitted to the Minister for Finances. Brief details of our recommendations are outlined below.
- Rental loss incurred as a result of rent forgiveness, or as a result of the additional rent arrears protections provided by the State due to Covid-19, should be allowable as an expense.
- Treat letting property as a business. Remove the restriction imposed by section 97 on rental business and treat the rental business in the same manner as any other business.
- Allow an exemption from Income Tax for Long-Term Leasing Structures to encourage long-term leasing, changing the mindset of property owners.
- Allow Local Property Tax as a deductible expense.
- Refurbishment Relief withdrawn in July 2008 should be reinstated with clear guidelines.
- Pension Provision – rental income should be treated as reckonable income for pension purposes.
- Building Energy Rating – monies spent on making a rental property more energy efficient should be allowable in the Tax year of expenditure.
- Accelerated Capital Allowances should be introduced for new capital expenditure to increase the supply of accommodation.
- Allow Capital Payment as an expense prior to computing rental income.
- Introduce Double Taxation relief for Letting Agent Fees to help retain landlords in the sector struggling with complex, confusing legislation.
- Allow Wear and Tear over 4 years to assist cash flow.
- Allow market rent restoration on the sale of property.
The full Pre-Budget Submission is available here.