Residential Zoned Land Tax

Ireland's housing supply crisis has been well documented, along with the need to double output from 30,000 to 60,000 homes annually.

Residential Zoned Land Tax (RZLT) has been introduced by the Government to accelerate housing development on ‘relevant’ land (generally land zoned residential and serviced) and to restrict ‘land hoarding’.

Local Authorities produce maps identifying relevant lands which are then liable for RZLT. These maps are updated annually.

RZLT is live from 1 February 2025 and is calculated at 3% of the market value of the relevant land. It applies annually until homes are built on the land.

Landowners will need to consider this tax carefully and take professional advice. For valuation, disposal or other advice, please contact us. Our dedicated team of land and housing experts are here to assist you.

Let’s take a look at the key details of RZLT

Who does the RZLT affect?

Landowners with properties zoned for residential use or mixed-use (including residential).
Land must be serviced and suitable for housing development.

What is the tax rate?

It is set at 3% of the market value of the land annually.

When did is commence?

The tax officially came into effect in 2024, with the first liabilities due from 1st February 2025.

Is there a mapping process?

Local authorities published draft maps identifying affected lands.
Landowners could submit submissions to challenge zoning, servicing status, or inclusion of their land on these maps.