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Student tenancies and council tak

ksmith08
ksmith08 Posts: 18 Forumite
edited 17 June 2009 at 1:02PM in House buying, renting & selling
Hi all

i wonder if anyone has any advice, please?

we have three full time student tenants, renting our btl property. Two are due to leave before august (one of which will be finishing full time education and the other is starting a second year in september- so is technically a full time student through this summer) and one tenant is doing a Masters course finishing in September.

The local council taxation department have been given approx dates regarding all three's leaving, but they're being more ruthless than ever!
They have lifted our student exemption from the end of June even though we've informed them that one full time student will still live and be studying throughout this summer.
And today they've sent another form asking for exact leaving dates for the two who will be moving out in july.

I appreciate that a person leaving full time education will be liable for council tax but if they're leaving as soon as the course finishes then thats that!

We make a point of only renting to students to avoid this type of liability. Are they being tight?
And, what rights do we have?

thanks
smitk032

Comments

  • becky_rtw
    becky_rtw Posts: 8,393 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Surely its their graduation date that matters anyway - I finished in June but graduated in October (my uni just did this no idea why) so my exemption stayed till October.

    However, if one person is staying beyond graduation then the exemption disappears and the 25% discount comes in and the non-student tenant is then liable for the council tax from then onwards on a monhtly basis...if they are leaving on the same day you'll just need to make sure that new tenant has the exemption too and it should come back...or else they will be liable for the 75%...

    Never heard of councils doing it mid year anyway...when i was a student we just sent the form once a year and it didnt matter if people left mid year then...
  • 00ec25
    00ec25 Posts: 9,123 Forumite
    1,000 Posts Combo Breaker
    are the course dates shown on the exemption certificates held by the students? Council has to adhere to those if so and you will need to submit new certificates if they do not cover the "summer".

    Of course if the certificates do not show course dates then you have a problem as you will have to argue with the council over the interpretation of the "when in attendance" rule as that is the legislation they are enforcing and you will have to prove the course dates.

    "A full time student must be attending a university, polytechnic or college and is required to attend the course for periods of at least 24 weeks in the year and be required to study for at least 21 hours per week, on average, when in attendance."

    Strictly speaking (and of course all councils are short of money so applying rules more robustly) then your "person" leaving in July has indeed finished their course (at the end of the university's term - June?) and as their teaching has finished they will no longer be actively studying and, as you know, the house therefore will not qualify as wholly occupied by exempt persons/students during July

    I agree its harsh and does mark a change from periovus treatment, but certainly LL of properties at my university are used to CT liability for summer void periods
  • tbs624
    tbs624 Posts: 10,816 Forumite
    Are these three on separate tenancy agreements or all signed up to one?

    If they have separate agreements and the student who has finished their course has gone/goes, and the one who is continuing with a second year of study will be returning to your property in Sept then there should not be a problem. ( this is assuming that your contracts run from July 1st to June 30th or similar, with no gaps) The masters student continues to be a student, the non student goes, and an "intercalating" student is the second tenant, so the property *is * still under student occupancy. However, the postgraduate student may not be viewed as a student if the course finishes and s/he is in the thesis writing-up stage.

    I think Becky RTW may have just hit lucky - most final year students are deemed to be non students as soon as their *course* finishes, rather than exemption running though until the graduation ceremonies.
  • theartfullodger
    theartfullodger Posts: 15,976 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I was asked by the council where I rent out a house to students when they were leaving etc. etc. The tenancy runs on to mid-August (and I'd expect the rent from the Agent on previous history) I decided not to reply ... Why?

    well I looked here...

    http://www.direct.gov.uk/en/HomeAndCommunity/YourlocalcouncilandCouncilTax/CouncilTax/DG_10037383

    - and noticed that the person who" has a lease of six months or more on the property, but doesn't live there " is responsible for paying before the landlord..

    So, I concluded the Council would have a valid claim against the students (well, ex-students soon I guess as they are final year) but not against me until the end of the tenancy..

    Any views on what I should have done??

    Cheers!

    Lodger
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