A farmer with land on the outskirts of a Kerry town says he is facing an annual bill of €100,000 due to the new residential zoned land tax.

The dairy farmer, who wishes to remain anonymous for fear of impacting his appeal to his local authority, says he is at his “wits’ end” and like a “rat cornered, we’d do anything to get out”.

Over 40ac of the farmer’s land has been zoned for residential development and due to its proximity to the town, the land’s high value is driving up the amount he will be liable to pay under the tax.

This, coupled with the large volume of the farmer’s land which has been zoned, is leaving him with a bill which he said he simply “can’t pay”.

The farmer said the land is used for rearing his youngstock and if he moved to develop it, it would have a “huge impact” on his business.

He has moved to appeal the decision to his local authority and is exploring all options to remove himself from the tax. However, he said the land is “fully serviced and accessible”.

“There’s so much gone into this to make sure no one comes out active. They came in with a stick before they threw a carrot,” he said.

Land tax

The residential zoned land tax is aimed at incentivising house building on land which has been deemed suitable for residential development.

Farmland is not exempt from the tax, payable at 3% of the land’s market value before 23 May 2024. Minister for Agriculture Charlie McConalogue confirmed that up to 8,000ha, or approximately 0.2% of all farmland, is expected to be affected.

Maps outlining the land liable for the tax are now available on local authority websites and here.

Liable farmers have until 31 December to appeal to their local authority to have their land de-zoned.

Read more

Land tax map: find out if your farm is liable