Council tax bill never received nor paid

wigvet

My young son bought a dilapidated terraced property about four years ago and spent two years completely renovating it and has been living there for about 18 months. Unknown to me he has never received a council tax bill and consequently has not paid anything to the Council.
He has now received a letter from the council demanding to know details of the solicitor who handled the sale on his behalf. No doubt they wish to know purchase date etc so that they can issue a bill
I am sure he will now be sent a hefty sum for arrears but just two points:
i) Where does he stand on the two years the property was being renovated and uninhabited – does he still have to pay the full amount
ii) Would he have to pay the arrears in one lump sum or could he agree a payment deal with the council?
thank you

agrinnall

It was his responsibility to inform the council so I think they are likely, in the first instance, to come down pretty hard on him. It'll need someone with more expertise than me to answer your first question, but I'd imagine on the second their opening gambit will be to ask for full payment on all arrears, so if he can;t afford that he'll need to use his best negotiating skills.

HappyMJ

Some councils have exemptions for a period of time if the property is unfurnished and unoccupied. As you haven't paid the the bill they seem (to me) more likely to grant this when they don't really have to as you didn't apply in time.

Some councils do not give a discount at all if the property is unoccupied so you might be paying 100% of the bill.

He has to pay the arrears on one lump sum but if this is genuinely unaffordable then there isn't much they can do they will accept a payment arrangement. Make sure the current bill is paid first by paying on the due date the exact amount requested each month. This will avoid this bill ever going to court. Then make a separate payment towards the arrears on last years account. Maybe in the middle of the month so they can't assume it's for any other reason.

kinger101

Empty properties can still liable for council tax, though there was an exemption for 6-12 months depending on whether it was being repaired. The rules have changed recently, and the council will tell you what the liability is.

I expect the council might want to treat this as a criminal case. Whether the payment can be made in installments is likely to be decided by the courts after consideration of your son's financial situation. If he has the cash available now, it might be worth paying the liability immediately.

But at this point, he needs proper legal advice. Mine is free and is probably worth every penny.

HappyMJ

kinger101 wrote: »

Empty properties can still liable for council tax, even if they're undergoing repair. Their used be to a 50% discount for empty and second homes, but this ended recently.

I expect the council will want to treat this as a criminal case. Whether the payment can be made in installments is likely to be decided by the courts after consideration of your son's financial situation. If he has the cash available now, it might be worth paying the liability immediately.

But at this point, he needs proper legal advice. Mine is free and is probably worth every penny.

It's not a criminal offence if you do not pay your council tax bill. The council can go to court to get a liability order but all that means is the person named on the bill is legally the one responsible for it and that enables the council to take enforcement action to collect what is owed. It is not a criminal conviction. Even if you go to prison for wilfully refusing to pay it still isn't a conviction.

It is a criminal offence to apply for a discount, exemption or reduction to which you are not eligible for.

wigvet

thanks for the prompt answers thus far - very much appreciated - I realise he has been very foolish - I just want to sort it out for him on the best terms - ta

Edi81

wigvet wrote: »

thanks for the prompt answers thus far - very much appreciated - I realise he has been very foolish - I just want to sort it out for him on the best terms - ta

Whilst I appreciate you want to help your son out he is a grown adult and should sort this out for himself.

He needs to take responsibility for not contacting the council / making steps to pay the bill. Having mummy or daddy come along is not going to teach him anything.

HappyMJ

wigvet wrote: »

thanks for the prompt answers thus far - very much appreciated - I realise he has been very foolish - I just want to sort it out for him on the best terms - ta

Having purchased the property when he was at the very least 18 and having owned for 4 years he's no less than 22. Advise him but don't sort it out for him. It is not the end of the world if the arrears go unpaid for a long period of time. Just tell him to keep the current bill up to date as a matter of high priority to avoid getting into any further difficulties.

I meant to add earlier...the court does not get involved in deciding the monthly payments. They just grant a liability order and the negotiations start with the council. The bailiffs sent to seize assets are commissioned by the council they aren't court bailiffs. The court has very little further involvement at all until it gets to the imprisonment stage for wilfully refusing to pay. That's when they offer the debtor one last chance to pay in instalments to avoid prison by looking at their financial situation very closely...but that's very unlikely to happen if he's willing to pay something.

martindow

My local council offers one month free during renovations but make it clear that wish to inspect to check that it is completely emptied and no-one is living there.

They may be very reluctant to offer whatever reductions they offer for renovations, firstly because your son has not contacted them as the new owner and secondly that they now cannot verify that it was uninhabited for a time while works were under way.

CIS

The council tax demand notices will have been going to someone - it's highly unlikely they have gone 4 years without a bill being sent.

The council may or may not backdate a reduction without a fight - rightly or wrongly some will backdate a discount to get the debt off the books whereas others will fight you for every penny.

He needs to speak with them regarding payment as some council's will spread previous years out and some won't - technically there is no requirement to allow anything other than 1 lump sum payment in respect of an amount due from a previous year.

wigvet

HappyMj & Edi81 – I understand your sentiments but I have no choice but to help him sort this one out – long story

Anyway again thanks for all the information again
I have now got the letter that the council sent to my son
Basically they state that they need to bring their Council Tax records up to date and request information such as

i) ‘Date he moved into property’ -
question – if he knocked a year of this would they in fact know/find out?
I see they request date he moved in not date of purchase

ii) Name of estate agent/solicitor who dealt with the conveyancing - question - is he obliged to provide this?

Is he better ‘coming clean’ and divulging full correct information now instead of saying for example he only moved in last year/can’t remember estate agent etc

Thanks again