Council Tax

davecd

I recently started a new business, and as I am trying to build my business up I had been paying myself £50 a week.
At the time my partner was unemployed, so we received help with Council Tax and housing benefit. Now my partner has gone to college to study, and as she is getting a student loan we no longer receive Housing Benefit and pay the rent out of the student loan.
Havering Council has increased our council tax. They have given a 25% discount off the full amount as my partner is a student, but are now saying that we are liable for the rest as I am working, even though I am on a low income.

We have tried to appeal this with them, but they are now saying that they cant do anything unless I am earning under £46 a week, when before £50 a week was low enough.

Does anyone know if its documented anywhere what counts as low income for council tax? Havering Councils website is very vague and when I call and speak to them they dont seem to want to help.

tomtontom

Council tax support is administered locally, criteria will differ between councils. They should have sent you a breakdown of their calculation.

davecd

They have never sent a breakdown, just a letter saying they have evaluated are claim and that our income is too high for additional benefits.
When ive poke to them on the phone and asked why £50 wasnt low enough they then gave me the figure of £46. I asked for that in writing but they havent sent it.

tomtontom

davecd wrote: »

They have never sent a breakdown, just a letter saying they have evaluated are claim and that our income is too high for additional benefits.
When ive poke to them on the phone and asked why £50 wasnt low enough they then gave me the figure of £46. I asked for that in writing but they havent sent it.

Then ask for it again, this time putting your request in writing

CIS

We have tried to appeal this with them, but they are now saying that they cant do anything unless I am earning under £46 a week, when before £50 a week was low enough.

From 01 April 14 many councils have altered their council tax support scheme so that people are paying more than they were in the previous council tax year - this is primarily due to cuts in funding the scheme so that they cannot afford to offer the same level of support,

NYM

Are you registered as self employed with HMRC ?

pmlindyloo

Your partner's income (ie her student loan) will be taken into account for council tax support just as it is for housing benefit.

Havering have a calculator which you can use here:

http://www.havering.gov.uk/Pages/Services/Apply-for-Council-Tax-Support.aspx

Also have you completed a self employed summary sheet? I am puzzled that you say you are paying yourself £50 a week. To the best of my knowledge claiming CT support when self employed isn't worked out like this.

For Income Support, Jobseeker’s Allowance, Housing Benefit (HB England, Scotland, Wales) (HB Northern Ireland) and Council Tax Support, your earnings will be the net profit you make in a year. This is usually the last tax year (the tax year runs from 6 April each year and ends on 5 April the following year); if this is not possible for example because you started self employment recently or part way through the tax year, you may be able to use an average of your profits over a shorter period.

Your ‘net profit’ is worked out by taking the figure for your earnings and making deductions for reasonable expenses, tax, national insurance contributions, and half of any pension contributions.

(From turn2us website)