| Ireland is a country which relies in a very strong | | | | everyone should be aware of the changes in tax |
| economy which has been developing and adapting | | | | laws which will affect landlords, property owners |
| in many sectors, especially in the technology and | | | | and investors alike. |
| service sector. During the third and fourth quarter | | | | The value added tax or VAT as is commonly |
| of 2007 the Irish economy didn't seem to be | | | | known in many European countries will soon be |
| doing very well which is what the housing or real | | | | applied to properties in Ireland, the specs change |
| estate market showed, recent studies show the | | | | is will come into effect in July 1, 2008 -- many |
| price of apartments in Ireland fell nearly 17% in | | | | would think of this as the clear disadvantage given |
| 2007, when it comes to house values these | | | | the current situation of the housing sector |
| studies show a nationwide decrease of nearly | | | | however many businesses who are partially |
| 0.8% in February, this comes after a very weak | | | | exempt of VAT are being advised to wait until |
| fourth-quarter in 2007 when the housing sector | | | | after these text changes come into effect so |
| declined 1.3% in October, 1.1% in November and | | | | they can reclaim the previously nondeductible |
| 1.5% in December. | | | | VAT. |
| Property owners, sellers as well as financial | | | | When it comes to landlords who are managing |
| institutions are the ones who seem to be | | | | constructions under the new value added tax laws |
| struggling with a decrease in property values, in | | | | they are given the option to tax the rant and at |
| February 2008, the national average price paid for | | | | 21% if they wish in some part to avoid the |
| a house was of EUR283,650, this is a glaring | | | | effects of the new VAT. These changes will be |
| decline compared to property values back in | | | | put into place in order to regulate the lease of |
| December 2007 which was of EUR287,887. | | | | properties as well as to provide a capital goods |
| Not everyone in Ireland is suffering from the | | | | system and make the Irish VAT on property |
| decline in prices this market has suffered, | | | | similar to those of other countries within the |
| first-time buyers and savvy investors can still get | | | | European Union. |
| good returns in the real estate market however, | | | | |