The Court of Appeal has overturned last year’s High Court ruling and has agreed with Revenue that the Non Principal Private Residence (NPPR) charge is not a deductible expense for landlords against rental profits.
The annual NPPR charge of €200 per property applied for all years 2009-2013. However, due to Revenue’s four-year time limit for claiming income tax refunds, landlords would not have been entitled to claim a tax-deduction for NPPR charges paid in years 2009 – 2012.
This is very disappointing for landlords, many of whom have already notified Revenue of NPPR charges paid by them in 2013 and were hoping for a favourable decision by the Court of Appeal.
Should you require any further information please contact our Tax Department.