Paying Too Much Council Tax On a Empty Property

armybrat

Hi, We have a property up for sale which we do not live in. The workshop/shop is empty and we are paying half council tax, as we have already used up our 6 months empty free, and we will have to start paying for the flat above in September. Does anyone know anything we can do so we don't have to pay any council tax on the empty property? We are not using any services and are just waiting for it to sell, but obviously the state of the market at the moment is not helping and we could be in for the long haul. (We even try an acution but it didn't sell there) It costing us a fortune paying three lots of council and we are starting to struggle.

CIS

The shop will be non-domestic then you are paying business rates , not council tax.

If the Flat is unfurnished then you can claim a 6 month council tax exemption after which the property will revert to a un-furnished charge of between 100% and 50% (depending on councils). There is no real way out of paying this charge .

If the property becomes occupied or furnished for 6 weeks then the Class C exemption becomes available again if the property then subsequently becomes empty and un-furnished again.

armybrat

Thanks. I didn't know about the 6 weeks occupied or furnished, we may give that a go. The shop we actually pay small business rates which is the same as half rates, I actually thought that we would pay half of the small business after the 6months, but it doesn't work out like that and we actually pay half the full rates, which is the same as small business rates. Lets hope the property market takes an upturn sooner rather than later and it will sell.

stphnstevey

To be furnished, does that just mean putting furniture in, no one has to actually live there?

CIS

There isn't an actual legal definition of furnished but generally its taken to be enough furniture to live in the property. For the 6 week period no one has to live in the property.

elmer

I sorry to disagree with CIS who is very knowledgable, but our council in these circumstances would require proof that someone was resident for the six weeks and we send out an officer to make a visit and check. We also require proof of residence ie a utility bill.

Elmer

CIS

I sorry to disagree with CIS who is very knowledgable, but our council in these circumstances would require proof that someone was resident for the six weeks and we send out an officer to make a visit and check. We also require proof of residence ie a utility bill.

I take your point - we don't generally inspect properties in our council ( 2 inspectors to cover over 200,000 people) - I did omit the information regarding inspections but however I didn't state proof wasn't required.

The 6 week period can be met by either occupation or substantial furnishing of the property.

hodgester

if someone attempted to claim that they furnished their property for 6 weeks, after 6 months exemption and then moved it all out again to claim another class c, I'd make the crafty sods provide me with evidence of storage/removal van costs and a signed affadvait, countersigned by a solicitor.

CIS

TBH I would too - I have requested details in the past and each time the person has backed down and has never provided the requested proof.

stphnstevey

What about an exemption for building work - say putting in a kitchen and bathroom

CIS

The criteria for a Class A exemption is major works that make a property uninhabitable but most council's will either want to inspect the work or want a full breakdown of receipts, work schedules etc etc.