selling assets before a bailiff can take away

stevelinz

Yes I have spoken to the council, But I think they will not ask for the debt back as they will have to cover the costs from the bailiffs.
They seem happy to have it returned and it seems when it is returned it will be written off as they know that I have no income at present (another job interview tomorrow) and no other means of paying the debt. And in the words of the council it is not in their interest to pursue the debt if a bailiff is unsuccessful.

I am just annoyed that this issue over the order is not challenged and made clear. As looking at the insolvency service it is included but a small loophole allows BR not to be final. Especially as one of the councils options is to make me BR.

blind-as-a-bat_2

40.101 Council Tax

Each District Borough Council levies and collects a tax, called a council tax which is payable in respect of dwellings in its area. The occupiers of the dwellings have joint and several liability for council tax.

Council tax is charged on a yearly basis from 1 April each year [Note 3] but the liability to pay council tax is determined on a daily basis [Note 4]. The billing authority is required to make a demand for payment of the council tax separate to the notification of the amount of council tax and the tax becomes due when that demand is made but most council tax payers agree a statutory monthly payment scheme for payment of council tax [Note 5].

Any amount due and unpaid under the instalment agreement prior to the insolvency order is an unsecured debt in the proceedings [Note 6]. If the bankrupt's council tax is up to date under the instalment agreement at the date of the bankruptcy order, no amount is provable in the bankruptcy as it relates to future occupation of the dwelling. Where a liability order has been obtained by the council, prior to the bankruptcy order being made the whole debt as notified within the liability order becomes due and it is therefore a provable debt as defined in paragraph 40.12.

40.12 Provable debts

Claims by creditors are provable as debts against the company or, as the case may be, the bankrupt whether they are present or future, certain or contingent, ascertained or sounding only in damages. The majority of debts encountered by the official receiver will be provable debts. In bankruptcy, the bankrupt will be released from most of these debts upon his/her discharge (see Chapter 22, paragraph 22.42). Exceptions include the following:

Claims which are provable in bankruptcy, but from which the bankrupt will not be released upon his/her discharge from bankruptcy [Note 14].
Claims which are not provable debts [Note 15].

thats the Oficial sections from the Is that i can see apply here

blind-as-a-bat_2

stevelinz wrote: »

Yes I have spoken to the council, But I think they will not ask for the debt back as they will have to cover the costs from the bailiffs.
They seem happy to have it returned and it seems when it is returned it will be written off as they know that I have no income at present (another job interview tomorrow) and no other means of paying the debt. And in the words of the council it is not in their interest to pursue the debt if a bailiff is unsuccessful.

I am just annoyed that this issue over the order is not challenged and made clear. As looking at the insolvency service it is included but a small loophole allows BR not to be final. Especially as one of the councils options is to make me BR.

The way i see it you are not liable at all, for this years bill, the liability order works in your favour here (thats the bit i wasnt sure on), But two problems, the debt is not discharged untill you are discharged, wich in mind is contradictory, as your liabilaty ends at your BR date, but doesnt actually end till your discharged if you want to read it that way.

secondly your OH will be liable for the amount now anyway.

But if they are trying to collect in your name there is a problem, any assets you have are the property of the OR unless stated otherwise, so there is a conflict of intrests if the bailiffs try to take anything.

There is a section of text somewhere about that but cant find it at the moment

stevelinz

Thanks for looking,

I just seem to be going round in circles with this one. Thats why I want to transfer all my assets and my mate is storing them in my house.

He will give me a written reciept for the goods and I will write to the bailiffs to inform them of this. T

blind-as-a-bat_2

Yep that seems to be the norm with some councils, they seem to follow there own rules, you didnt say if you had asked your OR if they could help get them of your back, that sometimes does work, so if you havnt you could give it a try

I wouldnt bother telling the bailiffs anything, they dont always play by the rules either so may try get the stuff anyway.

If its not at your property when they call they wont know it exists, as long as they have not been already and had a look, so its best to keep it that way;)

stevelinz

I spoke to the one of the people within the OR office one of the assistant OR and he said that they could not do anything with an order before.
I am popping in to the OR offices later to drop some paper work off so I will try to speak to the guy handling my case.

mazzatee

Hi Stevelinz

I believe you can ask for a council tax debt to be returned to the council on hardship grounds if your particular council has an anti- poverty strategy. Give them a ring to find out and if they have then ask them to take the debt back.

If they won't help contact your local councillor who will be able to take your case up for you.

tigerfeet2006

Steve is it council tax on a business?

stevelinz

yes it was council tax on a pub

stevelinz

And I was a sole trader