I sold a house last year and rang the SRO to arrange a refund of the Land Tax paid for the remainder of the year. I was told the SRO do not give refunds, and indeed they do not, as shown in this statement on their website.
“Please note: we do not adjust land tax assessments for property bought, sold or settled during an assessment year. Your solicitor or conveyancer can advise you about any land tax adjustments made on settlement.”
I am speaking of people who are liable to pay Land Tax. Land Tax for the year is paid on property you own at December 31st of the preceding year. So if you buy a house on December 30, you pay Land Tax on it for the following year. If you buy two days later on January 1st, you pay nothing for that year (because the poor bugger you bought it from is paying it for you!!)
Why would anyone agree to adjusting at settlement when they wouldn’t have to pay it anyway as they would not be assessed until the Dec 31st after purchase. In my case, the buyer would not have agreed to adjust at settlement because it was to be their principal place of residence so no Land Tax would be payable anyway.
Insurance companies refund monies for unused portions of an insurance term. How is it that the SRO cannot deal with simple transfers of property and adjust accordingly to make it fair for everyone ie owner pays? And more importantly, how is it that the SRO is allowed to continue charging you taxes on property you no longer own?