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Can you live in UK without paying Council Tax?
You’ll usually have to pay Council Tax if you’re 18 or over. A full Council Tax bill is based on at least 2 adults living in a home. Spouses and partners who live together are jointly responsible for paying the bill.
Who is exempt from Council Tax UK?
People who are disregarded include: –
- full-time students, student nurses, apprentices and youth training trainees
- people caring for someone with a disability, who is not a partner, or child under 18
- patients living in hospitals, care homes, certain hostels or night shelters
- people who have a severe mental impairment
- people aged 18 and 19 years, who are at, or who have just left school
- care workers working for low pay
- members of visiting forces and certain international institutions
- members of religious communities (monks and nuns)
- people in prison (except those in prison for non-payment of council tax, or a fine)
If you are on a low income, claim certain types of benefits or are unable to work, you may be able to claim Council Tax Reduction
Is there a time limit for paying Council Tax arrears Scotland?
If you don’t pay your Council Tax bill for the year – Your council will send you a demand for payment. This is called a ‘summary warrant’. The summary warrant will tell you how and when to pay. You’ll also be charged a 10% administration fee on top of the arrears you owe.
How do I cancel my Council Tax?
Cancelling council tax if you’re moving into care – Care homes are usually not subject to council tax, so just cancelling your current bill and settling the final payment is usually adequate. The care provider will usually be able to give you all the information you need on this.
What happens if you don’t pay Council Tax in UK?
If you miss Council Tax payments – Your council will send you a reminder notice giving you 7 days to pay if you miss a payment. If you don’t pay within 7 days, you’ll have to pay the whole year’s Council Tax instead. You’ll be sent a second reminder notice if you miss another Council Tax payment.
Does everyone pay council tax in UK?
Joint responsibility –
- If you live in a property, which is jointly owned, leased or rented by 2 or more people, you will be jointly responsible for paying Council Tax.
- There is one Council Tax bill for each property, and the name of everyone who is jointly responsible will appear on the bill.
- The bill cannot be split between the joint Council Tax payers, for example if there are 3 joint leaseholders, we cannot issue 3 bills for a third of the Council Tax that is due for the property.
: Who has to pay Council Tax?
Who is liable to pay council tax UK?
Who has to pay council tax – Usually one person, called the ‘liable person’, has to pay council tax. Nobody under the age of 18 can be a liable person. Couples living together will both be ‘jointly and severally liable’ – this means they are responsible as a couple but also individually.
This is the case even if there is only one name on the bill and applies if the couple is married, cohabiting or in a civil partnership. No one is under an obligation to make a payment until they are issued with a bill in their name or, if they are jointly and severally liable, with a joint taxpayers’ notice.
Usually, the person living in a property will be the liable person, but sometimes it will be the owner of the property who will be liable to pay. The owner will be liable if any of these are true:
- the property is in multiple occupation, for example, a house shared by a number of different households who all pay rent separately
- the people who live in the property are all under the age of 18
- the property is accommodation for asylum seekers
- the people who are staying in the property are there temporarily and have their main homes somewhere else
- the property is a care home, hospital, hostel or women’s refuge
If only 1 person lives in a property they will be the liable person. If more than 1 person lives there, a system called the hierarchy of liability is used to work out who is the liable person. The person at the top, or nearest to the top, of the hierarchy is the liable person. Two people at the same point of the hierarchy will both be liable. The hierarchy of liability is:
- A resident owner-occupier who owns either the leasehold or freehold of all or part of the property.
- A resident tenant.
- A resident who lives in the property and who is a licensee – this means that they’re not a tenant, but have permission to stay there.
- Any resident living in the property, for example, a squatter.
- An owner of the property where no one is resident.
Who is exempt from bedroom tax UK?
The penalty will affect you if:
you’re classed as having a spare bedroom you’re aged between 16 and minimum State Pension Credit age you get Housing Benefit (or the housing element of Universal Credit) you rent your property from a local authority, housing association or registered social landlord.
The following rules are used when working out whether you have a spare room:
two children under 16 of the same gender are expected to share two children under 10 are expected to share, regardless of their gender you’re allowed one bedroom for each person over 16 or couple in a household.
In Scotland, anyone affected by the bedroom tax should apply for a Discretionary Housing Payment. This is because the Scottish government will guarantee payments to make sure you’re not worse off. The Northern Ireland government provides funding to help people who are affected by the bedroom tax, to make sure they’re not worse off. There are a number of exemptions:
If you – or your partner – are over the qualifying age for State Pension Credit, you won’t be affected. However, under Universal Credit, you’ll both need to be over State Pension Credit age to be exempt. If you’re an approved foster carer, you’re allowed an extra bedroom. This applies even if you’re between placements. This is provided you’ve fostered a child, or you’ve become an approved foster carer in the past 12 months. If you have an adult child living at home who’s in the Armed Forces, they’ll be treated as continuing to live at home, even when they’re deployed on operations. During this time, the non-dependant deduction is also removed for the adult child. If you have an adult child who is a student and their main residence is your home, their bedroom is not considered to be ‘spare’. This is providing they don’t go more than 52 weeks without returning home. However, under Universal Credit this will be for six months. Also, full-time students won’t be exempt from the ‘Housing Cost Contribution’, under Universal Credit. This is £85.73 a month (2023/24) for each non-dependant adult over 21. If you receive care, support or supervision from your landlord in supported exempt accommodation, the under-occupancy penalty doesn’t apply. If your council has put you in certain types of temporary accommodation because you were homeless, your Housing Benefit might not be affected. If you have a spare bedroom as a result of a death in your household, the reduction for that bedroom won’t apply for 52 weeks. However, under Universal Credit this will be for three months.
If you’re affected, your eligible Housing Benefit – or the housing element of Universal Credit – is cut by:
14% for one extra bedroom 25% for two or more extra bedrooms.
So, for example, if your rent is currently £380 a month, your benefit is cut by:
£53.20 a month for one extra bedroom £95 a month for two extra bedrooms.
If you’re worried about finding the money to pay your rent, the first thing you should do is to talk to your housing association or council. Find out from when whether there are any options available to you. They might talk to you about transferring to a smaller home, if any are available.
They can also tell you whether any extra financial help might be available to you. Every year your council is given a pot of money to help people who need extra help with housing costs. You might be able to apply for this top-up payment if you’re getting the housing costs element of Universal Credit or Housing Benefit.
The council decides who should be given what they call a Discretionary Housing Payment. If you don’t already have a household budget (a list of all your income and outgoings) then now’s the time to draw one up And if you do have a budget, you’ll need to see whether you can still make ends meet after your Housing Benefit is reduced.
Having a lodger would mean you’re no longer considered as having a spare bedroom when your Housing Benefit or Universal Credit is assessed. If you’re getting Housing Benefit, apart from the first £20 a week, half the extra cash you charge above this is likely to be treated as income so your benefits could be reduced. Under Universal Credit, the way lodgers are assessed is different. You’ll be considered as having a spare bedroom – so the housing element of your Universal Credit will be reduced. But the rent you receive will be fully disregarded up to £7,500 a year. Your contents insurance might not be valid if you take in a lodger. Make sure you check with your insurer you’re still covered. Download a factsheet about renting out a room in your home from the GOV.UK website
You’re allowed to appeal against a bedroom tax decision. The most common reason for appealing is when you need the extra bedroom because you, your partner, your child or non-dependant adult needs to use it overnight. If you’re getting Housing Benefit, you’ll need to write to your local council within one month of the date of the decision.
Can I be chased for debt after 10 years UK?
Key Points –
Debt over 10 years old may be considered statute-barred, meaning it can no longer be recovered through court action. Many people in the UK could legally write off some of their debt, Debts may become statute-barred if the creditor hasn’t contacted you in over 6 years or taken action to recover the debt. The FCA considers it “unfair” for debt collectors to chase statute-barred debts, but some exceptions apply, such as debts owed to the DWP or HMRC. It’s crucial to gather information and understand your specific situation to determine whether you must pay an old debt.
Debts and debt recovery agencies get quite a lot of bad press nowadays. They often use quite forceful methods to get you to pay up, and while these can be a bit distressing, it can be argued that we all must pay our debts. There will be moments when we let our debts slip from our minds – and sometimes forget about them completely.
Can you be jailed for not paying Council Tax in Scotland?
Can you be sent to jail for not paying Council Tax in Scotland? If you are a resident of Scotland and you have fallen behind on making council tax payments it is important to act quickly to prevent the situation escalating. Council tax is obligatory to pay and whilst you will not be sentenced to time in prison for failure to pay the consequences for not doing so are nonetheless very serious.
- With the cost of living crisis, high, soaring inflation, rising interest rates and the fallout from the Covid-19 pandemic still affecting many people there are thousands of individuals struggling to stay up to date with their council tax payments.
- For many people their income has stagnated or even decreased, whilst their monthly costs have increased significantly, meaning that they have more money going out than coming in each month.
Many people who are in have more than £1000 of debt due for repayment to their local council. If you are in this situation or you are concerned that you could get behind on paying your council tax it is vital to act quickly. Here at Scotland Debt Solutions we have more than two decades of experience in assisting people to get out of council tax arrears.
We help them to manage their council tax debt, to liaise with their local council to make a reasonable repayment plan and to ensure that the situation remains manageable. Council Tax should be prioritised as part of your monthly or yearly budgeting plans, as the payment is made in monthly instalments or paid in a lump sum annually at the beginning of the year.
You may also be able to get a reduction to your Council Tax bill if you receive certain state benefits, if you earn below a certain threshold, or if you live alone.
Does debt get written off after 5 years?
Debts you’re not responsible for – You might not have to pay a debt if:
it’s been six years or more since you made a payment or were in contact with the creditor there was a problem when you signed the agreement, for example if you were pressured into signing it or the agreement wasn’t clear the creditor didn’t check properly that you could afford the repayments when you signed the agreement
How do I cancel my council tax when I move my house UK?
How Long Does it Take to Transfer My Council Tax When Moving? – Completing all the paperwork to cancel your council tax and transfer it to a new authority should only take 10 minutes or so. However, actually updating your details and transferring your payments will likely take a lot longer.
- Overall, it’s safe to say that the process of cancelling council tax when moving house and transferring your payments to a new council could take about 4 weeks.
- You should note, however, that there are certain times of the year when cancelling your council tax might be much quicker.
- For example, when the council’s workload is slightly less or when fewer civil servants are on holiday.
The best thing you can do to make cancelling council tax run as quickly and as smoothly as possible is contact your council as soon as you know you’re moving house. They will be able to give you more information about when you should cancel your council tax and how long it will take.
What is overpaid council tax?
You pay for your council tax in advance, and the account’s closed before the point you’ve paid up until. For example, if you pay for a year’s worth of council tax in 10 instalments, covering April to March, but move out in mid-February, you’ve overpaid by a month and a half.
Do I need to let local council know I have moved?
Register for council tax if you are moving to Ealing – Register for council tax if you are moving into the borough from another area. Tell us straight away so you will have more time to pay your bill. We charge you from the date you move in to your new home. You should also tell your old council when you are moving so they get your bill right.
What is Section 13A of the Council Tax Act?
Section 13a – Discretionary Hardship Award All Local Authorities must have a Section 13A scheme through which any person can make a request for an amount of Council Tax to be reduced or written off. The award is discretionary. The local authority must have a system in place to allow a person to make the request.
What does minus mean on Council Tax bill?
Your Council Tax Bill can be confusing. There is an example of a bill below and we have put a key underneath that answers some of the questions that we get asked a lot. 1. This is the financial year that the bill relates to. The council’s financial year runs from April until March.2. The barcode is there so that our Cashiers team can scan it in when you make your payments with them. The barcode makes sure that your payment goes to the right account.3.
- Name and address of person or people responsible for paying the bill 4.
- The Council Tax account number for the property.
- This will change when you move address.
- Please quote this number whenever you contact us about your Council Tax.5.
- T he Valuation Office Agency decides which band your property is in and we charge Council Tax based on the amount that is set for your band.
Please visit our Council Tax Banding page for more information.6. This is the address that the Council Tax shown on the bill is payable for.7. Your total bill is made up of an amount from Sandwell MBC and charges from other organisations that we collect on their behalf (known as precepts).
- In Sandwell we collect on behalf of West Midlands Fire and Rescue Authority, West Midlands Police and Crime Commissioner and Adult Social Care.
- The precepts are added to the amount from Sandwell MBC to make up your total council tax charge.8.
- The percentage increase from last year for each of the parts of your Council Tax.
The bold percentage at the bottom is the increase in the total amount of Council Tax from last year. The Adult Social Care part of your bill is calculated differently from the rest of the bill, please see our page on the Adult Social Care precept for details.9.
Single Person Discount – A 25% discount that you get for being the only person in the property eligible to pay Council Tax. Council Tax Reduction – Any Council Tax Reduction (CTR) that you are entitled to will be used to reduce the amount that you pay. Penalties and Court Costs – These will increase your bill by the amount shown. Empty Property Discount – Please note that Sandwell no longer offer a discount for empty properties. The empty property code will still be shown on the bill but will not affect the amount that you have to pay. PREM50 – This indicates that your property has been empty for more than two years. In this situation the Council Tax for the property increases by 50%.
11. This is the total amount that you need to pay. If the amount is followed by the letters CR, your account is in credit and you can contact us for a refund.12. The monthly payments that you need to make and the date that they need to be made by. If you pay by Direct Debit the amount shown will automatically be taken from your bank account on your chosen date.
How do I pay my Nfdc Council Tax?
There are several methods by which you can pay your Council Tax. You can pay your Council Tax in monthly instalments, or in a lump sum when you get your bill. We will assume you will pay monthly unless you tell us otherwise. If you have questions about paying your Council Tax, call 01590 646111 or email [email protected],
Can I refuse to pay tax UK?
Other action HMRC can take – HMRC can take further enforcement action if you haven’t paid your income tax and haven’t made an agreement with them to pay it. It’s rare to be prosecuted or sent to prison for tax evasion, but HMRC can:
take your possessions, including vehicles, to sell at auction (called ‘distraint’) take money directly from your bank account, if your debt is £1,000 or more take court action make you bankrupt, or close down your business
HMRC don’t do these things in order – they take whichever action they think is the most likely to work, based on the size of your debt. If you’re having problems paying your income tax and need further help, you can talk to an adviser at Citizens Advice, or contact TaxAid,
Does everyone pay Council Tax in UK?
Joint responsibility –
- If you live in a property, which is jointly owned, leased or rented by 2 or more people, you will be jointly responsible for paying Council Tax.
- There is one Council Tax bill for each property, and the name of everyone who is jointly responsible will appear on the bill.
- The bill cannot be split between the joint Council Tax payers, for example if there are 3 joint leaseholders, we cannot issue 3 bills for a third of the Council Tax that is due for the property.
: Who has to pay Council Tax?
How long do you have to live in a primary residence before renting UK?
When will you be covered by PRR? – We are often asked the question “how long do I need to live in a residential property for it to become my private residence and therefore be covered by private residence relief.” (PPR), when I sell. The answer being ” there is no specified time period.” The test of residence is one of quality rather than quantity of occupation,
A dwelling house must have become its owners’ home, with every case decided by its own facts. Examples: A recent tax case considered the concept of “quality of residence,” when Mr S who divorced in 1997, sold his former matrimonial home in November 1998 and began staying with his brother. In November 1999 he purchased a house which was in very poor condition.
He began renovating it and in July 2000 he let it to students. It was sold in 2005. Mr S claimed that the property was his PPR between November 1999 and July 2000, when he began living with a widow. However, HMRC challenged his claim and found that electricity bills had been minimal, there had been no cooking facilities and the gas had been switched off until March 2000, with the result that there was no hot water available for washing.
To the extent that Mr S had occupied the house, “he did so for the purpose of renovating the property rather than occupying it as his home which he expected to occupy with some degree of continuity”. HMRC also successfully challenged the availability of PPR in the case of Mr M where the taxpayer said he lived in one of his buy to let properties following the separation from his wife.
However it was proven that he had actually moved in with his new wife and there was insufficient quality and quantity of occupation for the property disposed of to have ever become his main residence.
Do UK tenants pay Council Tax?
Who pays council tax – the tenant or the landlord? – Most of the time, it’s the tenant’s responsibility to pay council tax when renting. While some landlords might include bills in your rent, if you rent a property, the council tax bill is usually in your name.
You’re a resident owner-occupier. If you own the property, you’re liable for the council tax bill if you’re living there. That still applies if you have housemates. You own the property but don’t live there. Even if no-one’s living in a house you own, you have to pay council tax. Some councils even charge you extra for leaving a home empty. You’re renting a whole property. Whether you rent a house or a flat, if you have the whole property to yourself, it’s usually up to you to make sure the council tax bill is paid. You’re a licensee. If you run a pub and live there as part of your job, you’re still responsible for council tax, even if you’re not paying rent.
Make sure you get in touch with the council as soon as you move in. Council tax runs for 10 months of the year (April to February) and you can usually pay monthly. It’s possible to split the cost over 12 months of the year if you prefer.
Can I own 2 houses UK?
Can I Own Two Homes in the UK? – Can you own 2 homes in the UK? The answer is yes. There’s no law restricting the number of properties you can acquire. This practice is common in the UK. According to the English Housing Survey, an estimated 495,000 households have second homes. But owning a second home isn’t cheap. You’ll need to pay property taxes, as well as upkeep and maintenance costs. If you’re thinking of buying a second home, you need to have enough money to cover the cost of the property and any associated fees. Finally, you’ll need to consider whether you want to rent out your second home or not.