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A tricky council tax problem - please help

Hi,

Having hidden from reality for rather some time, I am fully determined to get things sorted. My problem at the moment is council tax. I owe arrears, for my old property, for half of 07/08 and half of 08. I moved out at the end of July but they have charged me until the end of Aug. We were tied into a rental contract so had to pay rent for old place for Aug as well as new place.

First question, do I have to pay Aug for both houses?

I contacted council tax for new place in October, they finally replied to me in late Nov saying that we would have to pay about £400 pm in Jan, Feb and March.

My problem is that I want to sort this but can't afford to pay all at once, to be honest trying to find £400 pm is a bit a a struggle, let alone more on top. Which of them should I prioritize? I want to pay this back but when I spoke to old CT in the past I was told they wouldn't make an arrangement, it was all or nothing. But I don't really want to have more arrears for the new place.

I just don't know where to start. Any advice?

Thanks
Aim: To clear debt in 2 years then start saving!
Debt at start (31/10/08): £21818.30 :eek:
Payments to date: £353.08 :j
Debt left to pay: £21465.22/£21818.30 :rolleyes:

Comments

  • First question, do I have to pay Aug for both houses?

    As far as I know, yes. And it was not an argument I won with my local council when I had to pay between the transition of one property into another. It's a question of when your tenancy ends, NOT when you vacate. You give a months, standard notice, you are still liable for it regardless because you are still classed as occupying whether there or not. Sorry I cannot help further but like I said, you do have to pay. As far as I know.
    Any help, opinions, views I may hold those are my own. Respect them as you would expect the same in return. Offered freely, is gleaned from a lifetime of experiences, knowledge gaining. Passed on to benefit others. I may be direct, ask you questions but those are to help you. Up to you if you choose to take it. I won't judge you either way.
  • Hi Moozer,

    I hate the council tax. Where the barstewards will get you is: If you were in your property for a whole tax year they will let you pay over 10 months, but if you moved half way through the year they will divide council tax by 12 months deduct the months you were in the other house and you pay the rest for the other house. This happened to my mum, she paid from April to December. She moved at the end of December and had to pay council tax for Jan Feb and Mar for the new house. They don't class the previous person having paid so many out of 10 payments, and you pay the rest. Hope this makes sense.
    "A life spent making mistakes is not only more honorable, but more useful than a life spent doing nothing." George Bernard Shaw:p
  • lilian1977
    lilian1977 Posts: 5,188 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Be careful with paying it, if you don't they have a right to request it from your employer and it will come straight off your wage. I was perilously close to this happening to me a few years ago and it was only the help of my parents that saved me! Good luck x
  • Moozer
    Moozer Posts: 21 Forumite
    Thanks Merlin, I suppose it won't hurt to ask but I won't hold out too much hope.

    We got stung as out letting agent said they would be able to re-let the property no problem, then made a really crappy job of marketing it. We committed to our move before we realised that they were not going to do anything. We had to move as we had both been commuting about 5 hours a day which was costing a fortune in petrol.
    Aim: To clear debt in 2 years then start saving!
    Debt at start (31/10/08): £21818.30 :eek:
    Payments to date: £353.08 :j
    Debt left to pay: £21465.22/£21818.30 :rolleyes:
  • True. Annoyed me, too when it happened. The first time I was very well off, so I just brushed it off. The second, not quite so well off. So it frelled me off somewhat. When I argued, they set the courts on me. It was just a couple of days late. Suffice to say, I was not amused with them on the phone as I had paid, but they still taking me to court. Where's the sense?? Anyway, I was hundreds of miles away so told them I had no intention of travelling just to attend court when the matter had been settled. But this is councils for you.
    Any help, opinions, views I may hold those are my own. Respect them as you would expect the same in return. Offered freely, is gleaned from a lifetime of experiences, knowledge gaining. Passed on to benefit others. I may be direct, ask you questions but those are to help you. Up to you if you choose to take it. I won't judge you either way.
  • justruth
    justruth Posts: 770 Forumite
    Talk to the new council, and make an arrangement to pay. If you give them a reasonable off and keep on top of this years they may be easier to deal with. Find out what your normal tax would be and pay that plus a decent sum (say £50?) and write to them saying that this is all you could afford to pay the arrears each month but that you fully wish to co-operate. It completely depends on the council you are under as to how they treat you. Most of them like it to be finished by April

    So long as you keep in contact (by writing is usually the best as then you have evidence) and keep making the overpayment that you agree to you at least show willing. Council tax is a priority debt and all effort should be made to paying this off above other debts.
    Debt £5600 all 0%
  • Moozer
    Moozer Posts: 21 Forumite
    Hi, Thanks for all your comments. The problem is that current and old CT are both with different councils, so I can't make one arrangement to sort it. Which should I approach first?
    Aim: To clear debt in 2 years then start saving!
    Debt at start (31/10/08): £21818.30 :eek:
    Payments to date: £353.08 :j
    Debt left to pay: £21465.22/£21818.30 :rolleyes:
  • Moozer wrote: »
    Hi, Thanks for all your comments. The problem is that current and old CT are both with different councils, so I can't make one arrangement to sort it. Which should I approach first?

    I was in the same boat as you last year where the Council told me that I was liable for two properties. I had moved, but like you was also tied into a rental contract.

    I basically phoned them and spoke to a supervisor. I went on their website and dug out the regulations, and If i remember correctly, you don't have to pay council tax on a property if it's empty and unfurnished.

    I took the road of explaining that I only owned one sofa, TV, etc and that it was impossible for two properties that I was liable for too be furnished at any one time.

    In the end, the council agreed to write off the charge for the empty property. Just be polite and put the facts in writing if need be.

    I suppose it varies from council to council and also if you're was a furnished or unfurnished rental property. Worked for me anyway and saved myself around £90.

    Don't give up!
  • moneymare
    moneymare Posts: 611 Forumite
    Hi Moozer,

    I hate the council tax. Where the barstewards will get you is: If you were in your property for a whole tax year they will let you pay over 10 months, but if you moved half way through the year they will divide council tax by 12 months deduct the months you were in the other house and you pay the rest for the other house. This happened to my mum, she paid from April to December. She moved at the end of December and had to pay council tax for Jan Feb and Mar for the new house. They don't class the previous person having paid so many out of 10 payments, and you pay the rest. Hope this makes sense.

    Council Tax is worked out on a daily basis - so if you move out of a property on 31st August - you are liable from 1st April - 31st August. You then become liable for the new property 1st September - 31 March.

    The problem I see that the OP has is that they moved in August but did not tell the Council until October. As they have been billed Jan, Feb & March they are effectively paying for 8 months (aug-mar) in just 3 instals.
    WARNING!
    Alcohol can make you think you are more interesting and attractive than you actually are.....
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