Council tax on empty houses

roobee13

Hi all,

I wonder if someone can help please? Sorry if this is in the wrong area...

I am currently selling the house I own with my ex. Basic gist is:

Separated Mar 2012
House rented out from then until May 2014
House empty from May 2014
On market and offer accepted, due to complete July 2014

If I'm honest I hadn't even considered council tax as I presumed empty properties had the 6 month exemption. However a bill arrived today for said house at my parents address (no idea how they got that address but hey ho).

I just rang the office and they said legislation changed in Feb 2013 meaning CT was now payable on empty properties. I can't find anything on the net to confirm this so wondered if anyone else knew if this was true?

Also, if this is true, then what's to stop people from claiming single occupancy?!

I'm just a tad annoyed as I pay CT on my rented house (different council) and this will leave me tight on funds. I thought I was doing the right thing by ringing up but it seems I should've done what a lot of people do and ignored it!*

*rant over

Any info people have would be greatly appreciated

roobee13

Aaaahhh, just found something on the local govt site...

Atidi

Our council still give 100% discount for first 3 months a property is left empty & unfurnished.

To claim single occupancy discount, you'll have to find someone to live there (the council will want to know who it is) - they obviously can't be registered anywhere else for council tax during that time.
Obviously the property will need to be furnished for someone to live there.

If it's furnished, then you could get a discount of between 0% and 50% if no one lives there as their main residence.(depending on your council) ... ours currently gives 10% discount.

roobee13

Hi Atidi,

Thanks for the info. Sadly that might not work for me as the house is due to complete in mid July so for the sake of 2 months CT I will just have to suck it up

Out of interest, what council do you live in (if you don't mind me asking)?

My house is in South Glos and from what I can gather absolutely no-one gets a discount!

CIS

I just rang the office and they said legislation changed in Feb 2013 meaning CT was now payable on empty properties. I can't find anything on the net to confirm this so wondered if anyone else knew if this was true?

The 6 month Class C exemption was abolished on 31 March 2013 and from 01 April 2013 councils were given delegated powers to set the new discount on a local level.

roobee13

Hi CIS,

Thanks for that, I found soemthing confirming it just after I posted.

Unfortunately my council don't offer any discounts so I'm just going to have to suck this one up. Could be worse, at least the house will complete in the next month so I've only got to pay 2 months!

EdwardS033

There is some debate as to whether this is a good thing or not. My local authority used to give 6 months free and then full price but they have now reduced this to two weeks! They say it is to encourage people to use their assets as there are so many homeless and people waiting for houses. Although in practical terms trying to get people moved out and new people in within two weeks is a bit of a tight time frame.

Atidi

roobee13 wrote: »

...
My house is in South Glos and from what I can gather absolutely no-one gets a discount!

If the property was in the centre of Gloucester then for an empty & unfurnished property you would receive a 100% discount for the first month it is empty, followed by a 25% discount for the next 5 months.

In Bristol, you would be entitled to a 10% discount for up to six months followed by a 5% discount for up to a further 18 months.

But you are correct, for a property in South Gloucestershire, the local council have decided you will get no discount/exemption. All you can do is complain to the local councillor, but if you don't actually live there anymore (your profile suggests you now live in Bristol) and so don't vote in that constituancy, I don't think they will listen - they are supposed to act in the interests of the constituents for their authority since they are the ones voting them in.

Is the property mortgaged or have any other loans secured on it? If not & you say the property is due to complete it's sale in July, have you exchanged contracts yet? If so, you should have received 10% of the purchase price that would more than cover the cost of a couple of months CT.

If not, talk to the council about your current cash flow issues, and the fact you hope to sell the property soon ... I'm sure they could come up with a solution for you, even if it's a charging order on the property (assuming there is some equity in the property after any mortgage or existing loans on the property is settled)

Or if you can "suck it up", then that's probably the best solution.