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Short Term Lodgers - Council Tax?

I have a spare room in my flat, which I ocassionally rent out to actors and theatre staff for 1 or 2 weeks at a time (Maybe 4 or 5 times a year).

What are the implications of this in regards to council tax, as currently I get a single persons discount.

Thanks
«1

Comments

  • The implications are, if they find out, that you will lose your 25% discount and could possibly have it back-dated as well. If you're charging people to stay you should factor in the additional costs into your budget. If the income is over (I think) £4250 per annum you should be declaring it to the tax-man as well.
  • hazyjo
    hazyjo Posts: 15,474 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Don't forget to change your house insurance too or you might find you're not covered! (Not saying you haven't, just pointing out something you might have overlooked :))

    Jx
    2024 wins: *must start comping again!*
  • CIS
    CIS Posts: 12,260 Forumite
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    Unless it becomes their 'sole or main residence' it wont affect your discount.
    I no longer work in Council Tax Recovery but instead work as a specialist Council Tax paralegal assisting landlords and Council Tax payers with council tax disputes and valuation tribunals. My views are my own reading of the law and you should always check with the local authority in question.
  • 19lottie82
    19lottie82 Posts: 6,027 Forumite
    Part of the Furniture Combo Breaker
    CIS wrote: »
    Unless it becomes their 'sole or main residence' it wont affect your discount.

    I was hoping this might be the case - can anyone else advise?
    No chance of me going over the rent a room tax free allowance, think I took a grand total of about £550 last year x
  • ali-t
    ali-t Posts: 3,815 Forumite
    19lottie82 wrote: »
    I was hoping this might be the case - can anyone else advise?
    No chance of me going over the rent a room tax free allowance, think I took a grand total of about £550 last year x

    I had a lodger for a while whose main residence was in England with his wife and children but he worked in Scotland and stayed at my house until he had his 2 days off a week when he flew back down to England. I was not liable to pay council tax for him and didn't lose my 25% discount as it wasn't his main residence.

    I have also had students staying which has again meant that I didn't have to lose the 25%.
    If you always do what you have always done, you will always get what you always got!
  • deedee71
    deedee71 Posts: 918 Forumite
    Part of the Furniture 500 Posts Name Dropper
    ali-t wrote: »
    I had a lodger for a while whose main residence was in England with his wife and children but he worked in Scotland and stayed at my house until he had his 2 days off a week when he flew back down to England. I was not liable to pay council tax for him and didn't lose my 25% discount as it wasn't his main residence.

    I have also had students staying which has again meant that I didn't have to lose the 25%.

    I did not know that! I've being paying full CT since I took in a 3 nights a week lodger 18 months ago. Will be phoning the Council today. :)
  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    19lottie82 wrote: »
    I was hoping this might be the case - can anyone else advise?
    No chance of me going over the rent a room tax free allowance, think I took a grand total of about £550 last year x

    Unless somebody else comes up with compelling evidence to the contrary you should assume that what CIS says on Council Tax is correct.
  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    deedee71 wrote: »
    I did not know that! I've being paying full CT since I took in a 3 nights a week lodger 18 months ago. Will be phoning the Council today. :)
    You can get the discount backdated as well.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • deedee71
    deedee71 Posts: 918 Forumite
    Part of the Furniture 500 Posts Name Dropper
    HappyMJ wrote: »
    You can get the discount backdated as well.

    I've just spoken to my Council and they have said put it in writing and they will consider it. But it is not a given that they will award the 25% discount and there is no chance of it being backdated (according to them).

    Is there something specific I can quote to them to help my case?
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I've just spoken to my Council and they have said put it in writing and they will consider it. But it is not a given that they will award the 25% discount and there is no chance of it being backdated (according to them).

    Is there something specific I can quote to them to help my case?
    Not really but turn it around and ask on what basis they aren't backdating (there is nothing the regulations regarding discounts not being backdated). It is however considered practice that the council will only award the discount for any period they have suitable evidence for and failing that you need to go down the route of a valuation tribunal.
    I no longer work in Council Tax Recovery but instead work as a specialist Council Tax paralegal assisting landlords and Council Tax payers with council tax disputes and valuation tribunals. My views are my own reading of the law and you should always check with the local authority in question.
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