Scrap The Tax! Longford IFA Chair Calls For Permanent RZLT Exemption For Farmers

Longford IFA chair, John Sheridan, today voiced his concerns over the issue regarding actively farmed land being included in the Residential Zoned Land Tax (RZLT) - a self-assessed tax which applies to land zoned for housing - and called for a permanent exemption to be implemented in place of the "cumbersome" annual exemption request.   

Speaking to The Longford Leader, Mr Sheridan said the need for permanent RZLT exemptions for active farmers is one of the IFA's key priorities in their pre-budget submission.

He added, "While Longford has fewer farmers in difficulty with the RZLT than some larger counties, we still have farmers who have this RZLT threat looming year on year. We have cases in Longford with active young farmers coping with the threat of RZLT on a portion of their farm."

To avoid being liable for the tax, farmers were required to submit a request to their local authority to have their land re-zoned in recognition of its agricultural use.

In situations where an exemption was granted, farmers could avoid the RZLT for that specific tax year only. 

Speaking about the current process, Mr Sheridan explained, "The exemption for 2025 was very cumbersome and not fit for purpose. Nationally, the IFA are concerned that some members may not have followed through with all the steps to get full exemption and may have a liability going forward. We need an exemption again for 2026 and beyond but we need a simpler system and we shouldn't have to go back annually to reapply for exemptions."

"County development plans have seen an increase on zoned lands. As a result we have more farmers pulled in and more area on farms that were already zoned. All adding huge stress to family farms."  

Independent Senator, Victor Boyhan, who is also campaigning for an exemption, today warned of the “financial worry” being caused by the tax, and criticised the lack of clarity being afforded to farmers and growers across Longford.   

In addressing the matter, Senator Boyhan also renewed his call to the government to publish the quantum of land - the total price of absolute value of a property - subject to their RZLT regime.

He said farmers deserve confirmation on whether the government "is considering changes to what constitutes active agricultural use to exclude them from the land tax.”  

Referring to the upcoming presidential election, the senator also advised farmers to remember the power of their vote and to use it as leverage to encourage political canvassers on the government’s side to commit to redefining the scope of the RZLT.

Senator Boyhan added that while he had previously supported the then Minister of Finance, Jack Chambers, when he secured a deferral of actively farmed land from the RZL Tax (RZLT) in order to allow time to develop a definition to exclude farmers, he pointed out that the matter still remains unresolved. 

“The IFA committed to lobbying the government on this issue. To date, no progress has been made and so I would encourage IFA members to keep the pressure on.”  

In pointing out the financial implications that may arise from this uncertainty, the senator added, 

“Farmers are anxious to complete Revenue obligations and demands, and as the RZL Tax is self-assessed, they may be hit with interest, penalties and surcharges may apply if they do not comply with their obligations."

“Failure to meet your RZLT obligations may result in revenue withholding your Tax Clearance Certificate. Interest at the rate of 8% per year will accrue on unpaid RZLT. Surcharges will arise for any undervaluation of the relevant site in the return to Revenue, or where the return is filed late, so naturally farmers and relevant landowners want to be on the right side of revenue. Any unpaid RZLT is, and will, remain a charge on the land.”