Challenges to ‘land hoarding tax’ decisions have become moot, High Court told | BreakingNews.ie

High Court challenges to the imposition of Residential Zoned Land Tax (RZLT) on certain undeveloped lands have become moot, lawyers for An Bord Pleanála have said.

The court on Tuesday heard that 25 judicial review actions were initiated over the planning appeals board’s endorsement of local council decisions to find that particular sites that are primed for residential development should be subject to the tax.

The levy, set at 3 per cent of a site’s value, was introduced in Budget 2022 in a bid to encourage “the use of land for building homes”.

The RZLT was due to apply to eligible lands from last February, but the Minister for Finance has delayed its activation by one year and directed local authorities to draw up a fresh list of sites for which it will apply.

An Bord Pleanála’s barrister, Conor Quinn, said 13 of the 25 cases remained before the court, but these are affected by a recent judgment dismissing a lead challenge by O’Flynn Construction Company over the targeting of its Naas Road, Dublin, lands.

One of the 13 was listed before the court on Tuesday, when Mr Quinn said there remained a dispute about legal costs. With consent from the other side, he asked for the matter to be scheduled to return to court later this month.

Ms Justice Marguerite Bolger listed the case as requested.

Last month, her colleague Mr Justice Anthony Barr agreed to strike out the Michael O’Flynn firm’s case after finding the decision to include the lands on a map of RZLT-liable lands has been “overtaken by subsequent events”.

The O’Flynn lands, located on the former Nissan site, are zoned to allow residential development and received planning permission in 2021 to develop more than 1,100 apartments.

Dublin City Council and An Bord Pleanála agreed the 19-acre site should be subject to RZLT from February 2024.

However, with the changes introduced by the Minister for Finance, An Bord Pleanála argued in the High Court that the O’Flynn firm’s legal action was challenging a “redundant” decision that is a “legal nullity”.

The O’Flynn firm submitted it was logical to assume the council and board will again decide to include its land on the RZLT list.

Awaiting these new decisions would be a waste of time and money, the developer argued.

Mr Justice Barr agreed with the board that the case was moot and should be struck out.