Can benefits overpayment be added onto CT bill, even though its non-priority debt??

Angel89_2

Hi i was just wondering if council tax and housing benefits overpayments can be added onto CT bills and then have to be paid as a priority debt??


When the actual overpayment debt is a non-priority debt,
and therefore the other priority debts you have such as utility bill arears and council tax arrears should be paid 1st,
and paid seperately to the overpaid repayments.


Thanks

Macro_3

Council tax overpayments can and are added to CT bills - I believe that most, if not all LA's work this way. The overpayment is a priority debt.

Housing benefit can't be added to your CT account, but can be deducted from your rent account (if LA housing), your landlord, any other benefits you receive, your ongoing housing benefit or collected via invoice/payment arrangement/collection agency depending on the circumstances.

Angel89_2

Macro wrote: »

The overpayment is a priority debt.

The overpayment is a non-priority debt though,
NOT a priority debt.


The governments own website even says this.

So i dont understand how you can be forced to pay it above other priority debts,
when you dont have the money to do so?

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/PlanYourWayOutOfDebt/DG_10013266

CIS

Council Tax overpayment's are recovered by being offset against the council tax charge due - they are effectively recovering the council tax owed and not council tax benefit which is why its a priority and not a non-priority debt.

eg. You have a council tax liability of 1000 pounds.

you are paid 800 pound benefit so you owe 200 pounds council tax.

you find you have been overpaid 500 pounds benefit.

this benefit is reclaimed from your council tax which then leaves you with 300 benefits and owing 700 pound council tax .

The extra 500 you now owe is council tax and NOT council tax benefit.


I work in council tax recovery and although council tax benefit can be recovered separately no one really does it as the legislation (council tax (administration and enforcement) regs 1992 ) gives a common route of recovery.

Council Tax is a priority debt - the link you gave confirms it (http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/PlanYourWayOutOfDebt/DG_10013266)- when its deducted by way of attachment of benefit it is still a priority debt but other items such as electricity deductions are given a higher priority.

mazza1985

I cpmpletely agree. There is only one bill that you hear people being sent to prison for - council tax!

CIS wrote: »

Council Tax overpayment's are recovered by being offset against the council tax charge due - they are effectively recovering the council tax owed and not council tax benefit which is why its a priority and not a non-priority debt.

eg. You have a council tax liability of 1000 pounds.

you are paid 800 pound benefit so you owe 200 pounds council tax.

you find you have been overpaid 500 pounds benefit.

this benefit is reclaimed from your council tax which then leaves you with 300 benefits and owing 700 pound council tax .

The extra 500 you now owe is council tax and NOT council tax benefit.


I work in council tax recovery and although council tax benefit can be recovered separately no one really does it as the legislation (council tax (administration and enforcement) regs 1992 ) gives a common route of recovery.

Council Tax is a priority debt - the link you gave confirms it (http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/PlanYourWayOutOfDebt/DG_10013266)- when its deducted by way of attachment of benefit it is still a priority debt but other items such as electricity deductions are given a higher priority.

Angel89_2

Sigh


Well ive managed to sort it out i think,
since ive found a girl who i is going to move in to my flat at the end of the month (her current tenancy expires then).

Shes currently living in a £500pm house split 3ways, so is barely getting any housing benefit cash.


But so im going to have her come live with me, as where i live has the highest rates in the country,
(even though us under 25s still get ridiculously low rates just because of our age!!) :mad: :mad:

But when shes moves into my flat she will be able to get the max single under 25s rate for the area (£92pw/£368pm),
and after comparing the couples rates/entitlements vs for singles,
she is going to move in as a single tenant not couple with me,
so that she can still keep getting her JSA money + get a higher weekly rate than she would get if we became a couple + will get Council tax benefit still then, so will half my council tax bill. :beer:


I dont understand why the government is so against under 25s,
and couples though,
but so much in favour of single parents and couples who have loads of kids when they cant afford to!! :mad:


But the difference between what you can get if you live as a declared couple, vs the amount you get if you simply become not a couple and just 2tenants sharing a studio flat, is huge!

Over £450 difference!! :eek:

alwaysonthego_2

Angel89 wrote: »

Sigh



But so im going to have her come live with me, as where i live has the highest rates in the country,
(even though us under 25s still get ridiculously low rates just because of our age!!) :mad: :mad:

But when shes moves into my flat she will be able to get the max single under 25s rate for the area (£92pw/£368pm),
and after comparing the couples rates/entitlements vs for singles,
she is going to move in as a single tenant not couple with me,
so that she can still keep getting her JSA money + get a higher weekly rate than she would get if we became a couple + will get Council tax benefit still then, so will half my council tax bill. :beer:

So you are defrauding the benefits system, hopefully you will get caught out. Let's hope someone from the DWP sees this thread!

Angel89_2

alwaysonthego wrote: »

So you are defrauding the benefits system, hopefully you will get caught out. Let's hope someone from the DWP sees this thread!

lol

The dwp cant do fuk all about what someone writes on an anonymous internet forum. :rotfl:

They cant do fuk all about most things though apart from ask for money and tax and more tax!! :mad::rolleyes:



Im not ''defrauding'' any system though.

An unemployed single tennant aged under 25 living in this area is entitled to that level of benefit.

And so im simply choosing to have her move in with me as a flatmate and lodger to lower the rent and bills burden on me.

I could also alternatively choose to start a relationship with her for any reasons that i may want to, whether they be out of love or purely for financial gain,
it would be totally irrelevant to the council as they have absolutely no authority or framewaork to make any judgements on the reason ''why some people are together as couples'', and why other people ''aren't together''!

Just like they dont question single mums on why they have had more babies when they cant even afford the ones they've already got.

Or cant demmand boyfriends who are claiming benefits, to tell them why they dont move in and live with their girlfriend who is also claiming benefits!


So theres nothing illegal about that at all.

alwaysonthego_2

If people look at your previous posts I am sure they will be able to make their mind up on what a devious poster you're!

Angel89_2

:rolleyes::A


Maybe devious,
but making sure i dont commit any commit acts, or which i could actually ever have any negative repurcussions for me. :rolleyes::A

hippy-chicy

You haven't realised that as a lodger she will be ineligble to claim CTB as she is not classed as a liable person . You will remain the liable person and you will also loose your single person discount .So if anything your council tax bill will increase by 25%.

Maybe your plan might not pan out as you first thought?

Also depending what is standard practice in your LA her housing benefit will be looked at for commerciality as with all live in landlords. ( It is where i work )