Piloting Innovative Approaches to Valuing Commercial Property for Taxation Purposes: Occupier Assisted Valuations (OAV)
Terence Fahey
A key objective of Ireland’s State Valuation service, the Valuation Office of Ireland (VO) is to accelerate a National Revaluation programme which is currently underway. In order to assist the VO to achieve this goal a new legislative provision was introduced that specifically provides for elements of self-assessment within the taxation (rating) system, known as Occupier Assisted Valuation (OAV). This provision has allowed the VO to explore and test an alternative means of delivering a revaluation and, because of its uniqueness, OAV will be piloted in one rating authority area initially and its effectiveness then reviewed. Occupiers of commercial property will now have an opportunity to submit their own valuation for rating purposes. In order to enable occupiers to perform this task the VO is providing them with a variety of supports during the valuation submission period. It is hoped that the outcome of this enhanced interaction between the State and taxpayer will result in a more transparent process and a better communication and understanding of what the Valuation Office is trying to achieve through the revaluation.
The OAV pilot faces a number of challenges that are inherent in the Irish rating system, however it is hoped that OAV will become a mainstay for future revaluations. Alternatively, key lessons from the pilot will be used to enhance the traditional approach of direct assessment or perhaps may act as a stepping stone towards a full self assessment system.
Event: Land Governance in an Interconnected World_Annual World Bank Conference on Land and Poverty_2018
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