Council Tax question

timberflake

I currently live in a flatshare and have just paid my share of this financial years last Council Tax bill. So, I have February and March off ready to start paying 2009's bill in April (to be paid by 01/05/2009).

Now, my girlfriend (who doesn't live with me) and I have just seen a great deal on an apartment and are looking to view it and maybe take it. My question is, if we do and move in at the end of March say, will we have to pay Council Tax for March or start paying at the end of April??

Would appreciate any comments.

lincroft1710

You are liable for Council Tax on a dwelling from the day you become occupier or become entitled to occupy. So if you move in on 29 March, you will have to pay CT from that date.

As flatshare CT bill is not in your name any overpayment will have to be negotiated with person whose name is on bill, but as any shortfall will have to be made up by the other flatsharers it's doubtful you'll get anything.

timberflake

lincroft1710 wrote: »

You are liable for Council Tax on a dwelling from the day you become occupier or become entitled to occupy. So if you move in on 29 March, you will have to pay CT from that date.

As flatshare CT bill is not in your name any overpayment will have to be negotiated with person whose name is on bill, but as any shortfall will have to be made up by the other flatsharers it's doubtful you'll get anything.

The council tax bill is currently in my name. Say I moved into a new place at the end of Feb/beginning of March, why would I have to pay CT when the 2009 bill doesn't come out until April and the first payment is due by the end of April?

I've paid a full years CT where I am ie 10 monthly payments, why should I pay more!!?

lincroft1710

You have paid CT on your current home, CT would be payable on your new home from day you occupy or have right to occupy. Any overpayment of CT at current home would usually be refunded or credited to new home by council, so as your name on current bill, your flatsharers would be billed for time between you moving out and 31 March. CT year is from 1 Apr to 31 Mar, but payments are spread over 10 mnths rather than 12. It doesn't matter what day of year you move into a dwelling, you will pay CT on that dwelling from that day.

timberflake

lincroft1710 wrote: »

You have paid CT on your current home, CT would be payable on your new home from day you occupy or have right to occupy. Any overpayment of CT at current home would usually be refunded or credited to new home by council, so as your name on current bill, your flatsharers would be billed for time between you moving out and 31 March. CT year is from 1 Apr to 31 Mar, but payments are spread over 10 mnths rather than 12. It doesn't matter what day of year you move into a dwelling, you will pay CT on that dwelling from that day.

So if I moved into the new place one 1st March, would I have a case to get a rebate on the place i've moved from?

lincroft1710

Yes, obviously you would have to inform council you had moved out, and as I previously posted you would get refund/credit for number of days left till end of council tax year. In your particular case you would have to negotiate with your co-sharers as they will be entitled to proportion of refund, as they will be billed for the time between you leaving and 31 Mar.

timberflake

lincroft1710 wrote: »

Yes, obviously you would have to inform council you had moved out, and as I previously posted you would get refund/credit for number of days left till end of council tax year. In your particular case you would have to negotiate with your co-sharers as they will be entitled to proportion of refund, as they will be billed for the time between you leaving and 31 Mar.

Well if what you're saying is true, I won't have to give anything to my flatmate. If I move into a new place on 1st March (for instance) I would be £81 in credit? (our current council tax is £162 pcm between two). It would not be my flatmates responsibility to make up the council tax, it would be my landladies, nor would he be entitled to any of the credit I would receive.

CIS

Council Tax is a daily charge meaning that, although a full years Council Tax is usually taken over 10 months, if you leave before the year is up your bill will be re-calculated for the number of days you remained liable for the council tax at the property and any excess refunded.

If the council tax is currently in your name then you will get any refund back on your current property and a new bill would be issued to your flatmate if they remain in the property, otherwise any charge would pass to the landlord.

If you pay £162 pcm ,then assuming this is the standard rate over 10 payments, then you would pay £1620 p/a, or £4.438356 per day. If you leave the property on 01 March 09, you will be billed for 01 April 2008 to 28 February 2009 which is 334 days meaning that your total charge would be (334 * £4.438356) = £1482.41.

If you've already paid £1620 then you would be due a refund of £137.59.

lincroft1710

If CT bill in your sole name then the refund/credit would be returned to you, council would then issue new account to new taxpayer (your co-sharer) for remaining days of CT year. So, if you moved out on 1st Mar, you're due refund of £137.59, and if co-sharer has already paid his half of CT bill, then £68.79 of that belongs to him. Council Tax is 50% property, 25% 1st occupier, 25% 2nd occupier. No additional charge if more than 2 occupiers.

PasturesNew

Here's a made up scenario.

If your council tax is £730/year, between two of you, then that would be £365/year each.

You would each pay this over 10 months at a rate of £36.50/month.

If you paid it all and move out on 28th February, that would mean you had overpaid in that property by one month's worth. There are 31 days in March, so that would be £31 rebate for you.

For your housemate, however, he'd think he'd paid in full, but when you move out he actually has to pay more. Sharing council tax he's only paying 50%, once you move out he gets single person's discount so would have to pay 75%. So while you get £31.50 back, he'd owe an additional £15.75.

You would pay council tax on the new property from the day you move in/the agreement date. So you'd pay for the month of March on the new property for CT year 2008/2009. Come 1st April you'd get a new bill for 2009/2010 on your new property and would start paying that.