Council Tax arrears

oliviatwist

Hi,

My friend and I have tried to start a business together, it is going ok but has not paid either of us a wage yet. I have a job and my friend doesn't so I have been giving him money for food etc while we struggle through.

Last night he told me that he hasn't been able to pay his council tax for about 5 months, has had some letters and it has now come down to bailiffs knocking on the door. He hasn't actually seen them coz he is never at home but he has had a letter through the door.

I am so angry because I would have helped him but he has just burried his head in the sand.

I was wondering what would be the best course of action from here? To ring the bailiffs or speak to the council directly?

He has no income and he is not claiming any benefits!

If someone could point me in the right direction with this I'd really appreciate it

Thanks

RAS

Hi

Why is he not claiming benefits. Even as a self-employed person he would be eligible for help.

It would be a good idea for him to speak to NDL or the Business debt line about what he could get - even if it is only council tax benefit.

Re the bailiffs, the starting point is that as long as he does not open the door they cannot make a levy/WPO, so he needs to keep the doors and windows locked.

Does he have a car? If so, put it in the business name or yors or they can levy on it.

Please get him to claim what benefits he can, then he may be able to get the COuncil to take the debt back. We have found it useful to talk to the local councillor in these situations. often they can arrange things that are impossible when you speak to the CT staff.

LandyAndy

He should speak to the council as soon as possible and try to make some arrangements to pay in installments but it may have gone too far by now. This is one debt you really shouldn't ignore.

This could easily affect his realtionship with your business. Would you deal with a business where a partner or director had a conviction for this?

You could pay it and deduct it from his share of the business but it's a mighty risk.

Is he just a friend?

RAS

LandyAndy wrote: »

This could easily affect his realtionship with your business. Would you deal with a business where a partner or director had a conviction for this?

You could pay it and deduct it from his share of the business but it's a mighty risk.

Is he just a friend?

Hi

He cannot get a conviction for this and liability orders do not show up on credit records.

I would suggest that you do suggest they he does a credit check and you share this, as if he has other debts you need to know.

oliviatwist

Thanks for that I've got a starting point now!

The only vehicle he's got is a van, but it is the companies van and not his own so that is ok.

He is my friend/ex boyfriend. If he had told me about it before I could probably have paid the installments for him. But at the moment I am really skint so I can't do anything to help in that respect.

He works really hard but is soooooo unorganised. He said he hasn't ever been on the dole or anything like that and doesn't want to start now. He has always worked for himself and until 2 years ago has always been quite well off. But I have explained to him that everyone hits hard times sometime and it's time to swallow his misguided pride and sort this mess out!!

RAS

By the way, the maximum the bailiff can add for fees is £42.50 ish. Plus the lO fees of £75 which the council add. Anything else is illegal unless they have been in the house.

ILW

Is the sort of person who "buries their head in the sand" over finance the sort that you want to be in business with?

oliviatwist

Well actually the business isn't a problem, I deal with the money/paperwork and that side of things. He does the manual work and the driving. It works well