Council Tax when Bankrupt

ScotsGraeme_2

Looking for some help

I was behind in my mortgage last year and eventually moved out at the end of October to a rented house.

At the time i advised the Natwest i would be going BR and i would be happy in getting house repossessed.

My BR went through on the 20th January and my OR was happy with everything and also that the house would be getting repossesed.

I have now received a council tax bill for £605.00 for April to June this year. Having called the council they have said they have only had my word that the house was being repossessed and they have heard nothing from my OR or the solicitiors who are acting on behalf off the Natwest.

They have advised me that i am liable for the money due to the repossession not having been completed.

Can anyone advise if this is correct.

I have barely enough money at the moment without having to pay for this bill esp as i havent been staying in the property.

Any help appreciated


Thanks

shellsuit

I'm sure you can't include CT in a bankrupty, so if you do owe it, it looks like you'll have to pay it I'm afraid.

ETA : I could be wrong so don't take that as gospel! I'm sure that was the case when I went BR in 2006 though?

dojoman

The council tax they are claiming is for after the date of the BR anyway and would not be covered anyway.

ScotsGraeme_2

Hi Shellsuit

The point is though i was up to date with my council tax.

The payment they require if for when i havent been staying in the property. I was bankrupt in Jan 2011 but no one has advised the council that i havent been living there apart from me.

Cheers

wildheart83

I included council tax from a previous year in my BR, but I think you cannot include this year's council tax in your BR.
Is the bill for April 2011 - June 2011? Have you spoken to your OR to see what they say? Sorry I don't know the answer, but is there not a form to fill in to be exempt from council tax in the situation of BR?

ScotsGraeme_2

Yeah the bill is for April 2011 - June 2011.

I have been out that property for 8 months.

I have spoked to my OR to ask them to sort it but no joy as yet

wildheart83 wrote: »

I included council tax from a previous year in my BR, but I think you cannot include this year's council tax in your BR.
Is the bill for April 2011 - June 2011? Have you spoken to your OR to see what they say? Sorry I don't know the answer, but is there not a form to fill in to be exempt from council tax in the situation of BR?

dojoman

Have a look at this thread:)

https://forums.moneysavingexpert.com/discussion/3284978

wildheart83

Did you speak to the council when you moved out the property? I'm sure I read on here somewhere that there are forms to fill in - form Q springs to mind but I could very well be wrong.
I'm sure someone with more experience in this than me will be along soon.
The last thing you want is for this to be passed onto a Sheriff's Court to deal with, as they are particularly nasty

Oops crossed posts, dojoman to the rescue again!

kepar

Are you paying Council Tax where you are living now?

Ineedaname

Kepar - that makes no difference if you read the thread Dojo linked to. This is about whether the OP is liable for council tax for an empty property where the deeds are still in their name.

CIS

I think people are confusing liability and council tax actually being due.

The OP remains liable for the council tax at the property until it becomes the legal property of another party however they may not have anything to pay (the OP's name would remain on the land registry docs as the owner until the property is disposed of).

Any Council Tax due to the date of bankruptcy would be included but as this year was up to date it would only be apportioned to the bankruptcy date rather than being included in full.

It is the OP's responsibility to ensure that any discounts or exemptions are claimed, whether this be a Class L exemption for a repossession or a Class Q exemption for a trustee in bankruptcy. Until the relevant details are supplied then the council will continue to recover the council tax due.

Once any exemption is awarded then the OP will remain liable for the property but no council tax will due for the period of the exemption.