In light of the forthcoming second Residential Zoned Land Tax (“RZLT”) return date the Conveyancing Committee has been requested to issue further guidance and clarification regarding their previous practice note on the topic of RZLT issued on 10 July 2025. Access the July 2025 Practice Note.

Multi-unit or block purchases

The Conveyancing Committee wishes to clarify that the section of the 10 July 2025 Practice Note relating to new homes was intended to apply to single unit purchases, not multi-unit or block purchases that may require a more extensive level of enquiry and supporting documentation. The committee advises that, in instances of multi-unit or block purchases, it is envisaged that full replies to Requisition 45 should be provided by developers’ solicitors. It may also be appropriate for taxation advice to be obtained by purchasers.

 The following is a non-exhaustive list of additional documentation, which might be sought by a purchaser of multiple units:

• a copy of the site history summary. This can be obtained by the property owner on the RZLT portal under the Revenue Online Service;
• a copy of the return(s) made in respect of RZLT, including details of the deferral claimed for each liability date that RZLT applies (noting that a deferral claim must be made by a developer in respect of each liability date whilst the deferral applies);
• a copy of the valuation(s) supporting the return(s);
• a copy of the certificate of confirmation provided by Revenue in respect of RZLT pursuant to section 653Z(4) of the Taxes Consolidation Act 1997 (the “TCA 1997”); and
• any other documentation that a purchaser’s tax advisor reasonably requires.

BCAR Certificate of Compliance on Completion in respect of New Homes

In its Practice Note of 10 July 2025, the Committee reported that purchasers of new homes were not required to look behind the BCAR Certificate of Compliance on Completion.  This is in the context of a deferral under s653AH of the TCA 1997.    In order for a deferral to apply (and ultimately the abatement of the tax), a return and deferral claim must be made in respect of each liability date occurring during the period in respect of which the deferral is claimed.  This is required under Section 653AGA(8) of the TCA 1997 in respect of the pre-development deferral and under Section 653AH(10) of the TCA 1997 in respect of the development deferral.

As a result, additional considerations arise as the next RZLT Return Date approaches (23 May  2026).   Accordingly, the Replies to Requisitions should not be restricted to Requisition 45.1and 45.3, as advised in the Practice Note of 10 July 2025.  The committee recommends that the developer’s solicitor reply to Requisition 45.8.  The committee further recommends that on completion, the developer should furnish a certificate confirming that all necessary RZLT returns (in order to claim the relevant deferral) which were required to be made in respect of the relevant deferral period have been made in full and on time. 

Therefore, where the developer’s solicitor replies to Requisition 45.8 by producing a draft of the certificate referred to above with confirmation that the original of the certificate along with the Certificate of Compliance on Completion, will be furnished on closing, this should be acceptable to the purchaser’s solicitor. 

The committee continues to keep the application of RZLT under review and will issue updated guidance as appropriate.