council tax and br

debtinfo

So just to be clear and in line with what CIS said.

Any amont DUE at the date of the bankruptcy.

Any arrears have already become due and so are included.

Normally as the council tax is accrued daily any future amount for the rest of the year would not be included.

There are two ways that could change

One is by a liability order

The second is where they send you 2 notices stating that the onstalment option has been withdrawn and that the whole amount is due.

If either of the 2 above occour the whole amount for the year is now due and so if you go bankrupt after that the whole amount (because it is now due) is included in the bankruptcy

CIS

The second is where they send you 2 notices stating that the onstalment option has been withdrawn and that the whole amount is due.

The right to instalments can be lost after the first reminder, second reminder or final notice depending on what you have paid and when.

One is by a liability order

By this stage the right to instalments has already been lost at one of the stages Ive listed above.

debtinfo

Yes the important thin is that the whole years amount has become due to pay immeadiatly, that is when it can be included in the bankruptcy

elliesmemory1

Thanks for all your replys.
I will have to find out the paperwork but when I was 2 months behind they sent me a letter saying that unless I paid the arrears within 7 days I would have to pay the whole year.
I rang them and told them that I couldnt pay it ad they set up a payment plan starting the following month so not sure how that fits. I didnt pay within 7 days but they were going to let me pay monthly.
I thoght that only the arrears were included in br but the council themselves said the whole year was included and sent me a bill showing that.
They have now sent me a bill for the rest of the year. I think they must have mad a mistake in the fist place by saying the whole year was written off, but im not sure where I stand now. Will look at my paperwork later and ring them tomorrow.

miss_spooky

Hi ya,

Did you have a read of my thread. I believe DD confirmed that the whole debt is due once the instalment date (usually 1st each mth) and 7 days has passed - regardless of whether they have sent out any notes. Apparently that's what's stated in the Council Tax reg & IS Tech Manual.

I'll PM you a copy of the letter I sent, you can only send it and see what they do.

I believe that from what you said they were right to write it all off, BUT, they will try it on as it is such a grey area.

elliesmemory1

Thanks I have had a quick read of your thread, need to read it properly tomorrow when I have more time will also ring counci land see what they say. Thanks for your help will let you know how I get on.

elliesmemory1

Still a bit confused about this. Have found the reminder I was sent pre br. It says. The arrears must be paid within 7 days of this notice.If payment is not made you will lose the rights to instalments and be liable to pay the full outstanding balance.

I was not able to pay this balance but set up a payment arrangement which did not start untill the following month, Aprox 25 days from date of notice, by which time I was br.The first payment of payment plan was taken as paid by dd and was to late to cancel.

I have rang the council and they say the first info I was given was wrong and only the arears was written off so the first bill was wrong I now have to pay the rest of the year.
I have read through the thread and I did not get a liability notice just the reminder but I didnt pay the arrears within 7 days so should that mean the rest of the year should be written off? Miss spooky you said that you lose the right to installments if not paid within 7 days of due date? in that case I should not have to pay the rest of the year? If I do have to pay thats fair enough, but they were so insistant I didnt have to pay and now they have changed their minds which is why Im confused.
I will email the ors office and see what they think. I may then write to the council so your letter may be handy if you have it miss spooky. Thanks

steve533

Also think about your income and outgoings - if you do not have to pay council tax it may _ depends on your circumstances, increase your surplus to over £100 month so triggering an IPA for 3 years. Where as if you have to pay ct then you may have less than £100 and no IPA.

CIS

I have read through the thread and I did not get a liability notice just the reminder but I didnt pay the arrears within 7 days so should that mean the rest of the year should be written off

If a reminder is not paid within 7 days then (assuming the council hadn't just given you a revised payment arrangement) the balance becomes due in full within a further 7 days or a summons will be issued.

Council Tax (administration and enforcement regulations) 1992

(3) If, within the period of 7 days beginning with the day on which a reminder notice is issued, the liable person fails to pay any instalments which are or will become due before the expiry of that period, the unpaid balance of the estimated amount shall become payable by him at the expiry of a further period of 7 days beginning with the day of the failure.

The guidance given to the authority I work with was that once it was due in full and you had lost the right to instalements then it was a balance to be included in the bankruptcy.

I was not able to pay this balance but set up a payment arrangement which did not start untill the following month, Aprox 25 days from date of notice, by which time I was br.The first payment of payment plan was taken as paid by dd and was to late to cancel.

You made alternative arrangements with the council and they had re-instated the instalments so the amount had not become due in full.

elliesmemory1

Yes, I have thought of that too, When the council told me the whole year was written off Iasked the or about it and they said to put the money aside in case council changed their mind, which it seems they have. If they didnt change their mind it would be a bonus! As the council tax only runs to Feb he said they wouldnt be interested. I was surprised at that answer I must admit.

I am prepared to pay the council tax if its correct but as the council themslves dont seem to know what they re doing I have little faith that it is correct.