Éire Inniú Anois - Ireland today now
THE "MAGIC FIX"...HOUSING CRISIS
The fallout from the Eviction bill has made itself evident all across the country.
ÉIA propose the following...
@25% if over 2 times or 2x the value paid since 2008
@30% if over 2.5 times or 2.5x the value paid since 2008
@35% if over 3 times or 3x the value paid since 2008
@40% if over 3.5times or 3.5x the value paid since 2008
@50% if over 4 times or 4x the value paid since 2008
ÉIA will introduce a RENTAL CAP TFA PLAN(RCTFA) that is between 1.5 times or 1.5x and 2 times or 2x the value of property the landlord/agent bought it for. This will allow landlord/agent to add their property gains to an annual tax free allowance which can be subtracted from gross income leaving their taxable income. However choosing this option will not allow a landlord/agent to add their receipts for wear and tear to their annual TFA.
ÉIA will introduce a WEAR AND TEAR TFA PLAN(WATTFA) that is up to 1.5 times or 1.5x the value of property a landlord/agent bought it for. This will allow landlord/agent to add gains and receipts of wear and tear to an annual tax free allowance which can be subtracted from gross to leave their taxable income.
RCTFA example: if mortgage was/is 400euro pm the RCTFA is 2x capped@800euro pm, This will mean that up to 400europm can be added to an annual TFA on Landlord/agent salary/gross income subtracting this TFA from gross salary will leave taxable income. However landlord/agent will not enjoy the wear and tear tax free allowance and will not be able to add receipts to their annual TFA.
WATTFA example: if mortgage was/is 400euro pm the WATTFA is 1.5x capped @600euro pm. This will mean that a landlord/agent will be able to add all receipts of wear and tear to their annual tax free allowance and up to 200europm gains.
Landlord/agent will be able to choose between the 2 rental cap options on a per property basis
Any properties where the value paid for is unknown i.e. squatted/acquired without proof of purchase will have to be valued before either rental cap option can be implemented and will be emergency taxed @75% until landlord/agent does get the property valued. Landlord/agent must choose either one of the 2 rental cap options before getting their property valued Emergency tax can be claimed back after property is valued.
Landlord/agent that does not adopt either one of the rental cap options will be fined 150,000euro per property and the state will seize their property on a per property basis.
landlord/agent annual TFA can not exceed 25% of gross income .