Council Tax: Single Occupancy - Residence vs occupancy

Happychappy

Hi, hopefully someone can give advice? my mother was a single occupant and passed away last year. I sought probate and am the executor of her will. My mum had only a few possessions, one being her bungalow which she left to my brother, sister and I.

The bungalow has remained furnished and unoccupied since her death. I am now having to pay council tax as I was granted probate six months ago.

My sister lives in Australia and suffered a breakdown when mum passed away and the house remains in Mum's name, the council will only give a 10% discount as they class it as a second home, but I cannot get my sister to agree to sell it, rent it, or do anything with it as she does not want to deal with it? therefore I am paying for a gardener and the council tax, water etc.

Can I appeal to get a better discount as it is not lived in? a single occupant would get 25%, yet no occupant gets 10% which is clearly not right.

If there is no discount above 10% for unoccupied properties, can I claim it as my main residence, a recent ruling for the thieves at Westminster allowed them to claim for a home as a main residence as long as they visited it once per month. I live 50 yards away and visit the property everyday, clearing mail, opening the conservatory doors so it doesn't overheat, cleaning windows etc, etc?

I pay enough tax, and now paying two lots of council tax is really something I cannot afford, but likewise just do not know what to do for the best with the bungalow, I don't want the problems of renting it out as I may end up with the chavalot family, and my sister just cannot discuss it and wants the problem to go away, but I know if I sell it, this would be the wrong decision?

monstermoo

Hi

Sorry to hear about your mother passing away.

I was under the impression that an unoccupied and unfurnished property was entitled to a standard 50% discount. This too can apply to a 2nd home, where you can show that you are paying CT for a different property.

Check the Local Authorities website. Each Council may have a more locally specific interpretation so check there first, i don't think all of them give the same % in discount

Hope it helps

CIS

The 50% discount has been variable by local authority since 1 April 2004, it can now be as low as 0%. For second homes it can be between 50% and 10% discount.

CIS

My sister lives in Australia and suffered a breakdown when mum passed away and the house remains in Mum's name

If probate has been granted then the house should now be in the name of the legal owner as should the council tax.

Can I appeal to get a better discount as it is not lived in? a single occupant would get 25%, yet no occupant gets 10% which is clearly not right.

They have awarded you the correct discount if that is what the authority allow for a furnished and unoccupied property. The rules regarding the class of discount to be given are outside the authorities control, they only have limited control over the rate of discount set.

smartpicture

p00hsticks wrote: »

I suspect that this relates to what I was saying earlier - HMRC say that married couples who are no legally separated can only have one 'Principal Private Residence' between them, that would be exempt from capital gains tax when sold.

I found this quite alarming. I separated from my husband 13 years ago, but it has never been legally formalised. We both own our own homes, are you saying we can still only have one PPR between us and one of us would have to pay CGT if we sold out house??

lincroft1710

Happychappy - any money you spend in relation to your late mother's bungalow should be properly noted down and receipts obtained so that you can reclaim the money from your mother's estate.

If your sister is refusing to acknowledge the problem you may have to take legal advice as to your right to sell the bungalow.

Happychappy

lincroft1710 wrote: »

Happychappy - any money you spend in relation to your late mother's bungalow should be properly noted down and receipts obtained so that you can reclaim the money from your mother's estate.

If your sister is refusing to acknowledge the problem you may have to take legal advice as to your right to sell the bungalow.

Thanks, I appreciate your advice, I wasn't and don't intend to push my sister into making a decision, I know with time she will and I was perfectly happy to give her the time, but now the council have their claws into the property, I cannot afford £130 per month for much longer and will be forced to sell, I suppose I was hoping that when or if my sister returned from Australia, she may want to move into the bungalow.

My real gripe, now I realise the owner of an empty property has to pay council tax, is not the fact I have to pay it, I always expected that, it is just the 10% discount for the fact nobody lives there, yet a single mother or father and five children can get 25%, discount, so really what is to stop me registering the house as my residence and getting a 25% discount instead of 10%

lincroft1710

so really what is to stop me registering the house as my residence and getting a 25% discount instead of 10%

Unless you actually move into the bungalow it's called Council Tax fraud.

Birmey

Hurrah, common sense has prevailed. The IRRV believes it seems reasonable to award the discount on the basis that my husband and I do not have sole residences but each of us has a main residence. My single occupancy discount has now been reinstated.

Thanks to everyone for helpful comments and advice.

Happychappy

lincroft1710 wrote: »

so really what is to stop me registering the house as my residence and getting a 25% discount instead of 10%

Unless you actually move into the bungalow it's called Council Tax fraud.

Sister lives in Australia and so the house will go in her name as her main residence, for when, and if ever she returns, so really a ridiculous play on words and a farce where an empty house is taxed at 90%, yet a single occupier pays 75%