The 10% increase in the Local Property Tax which was introduced in Tipperary for 2020 is to continue into next year.
This means the local authority coffers will benefit from an additional €1.2 million in 2021.
The contentious Local Property Tax has led to heated debates over the years among elected members of Tipperary County Council.
It’s within their powers to vary the tax by a maximum of 15% each year with the rate then reverting back to its original figure.
Last year the majority of Councillors backed a 10% increase in the tax which meant an additional €1.2 million for the local authority.
The matter was up for review at todays the monthly meeting of Tipperary County Council with CEO Joe MacGrath asking that the increase be continued for the coming year.
In a letter to representatives he outlined that Budget 2021 “will be the most challenging budget we have had to face”.
This is due, in large part, to the impacts and uncertainties of COVID-19.
The notice pointed out that a key objective of the budget and a major challenge that it poses, will be to maintain all existing services that the council provides and that it supports.
It also says that Tipperary County Council is one of a group of local authorities where the Local Property Tax at the moment is “insufficient to fund local services.”
The shortfall being faced by the council is a significant €16.31 million.
Ultimately councillors today voted by 22 votes to 17 to maintain the 10% increase in the Local Property Tax.
