Council Tax Benefit enquiry

bery_451

If you read my post before these council house where bought cheap.


So if her share of the property is not worth over £16000 capital then its not fraud according DWP stating to me on the phone today.


Thank you, I will advise her to go CAB.

Housing_Benefit_Officer

bery_451 wrote: »

I think its best to visit the citizens advice bureau and get local advise there as someone said earlier every council is different with their own rules so answers given in this thread maybe confusing to the reader.


Before I do go you guys are confirming that land registry and property ownership has nothing to do with council tax liability and instead its based on who's living there? Is this a universal rule applying to all councils?


Regarding the benefit she's getting, you are telling me all benefit claimants not allowed to own or part own a property?


These council houses are not like £300000-4000000 price tag like they are in London. They are bought cheap because council gave them a discount bringing the price of a house to under £20000.


Ok thanks for the advise, I see what the CAB says.

Trying to explain and for your to comprehend benefit legislation and the Local Council Tax scheme is like wading through treacle.

Your posts pose more questions than we are able to answer. You are not painting the full picture that may be due to your friend not disclosing the full details of their properties and income.

The big unanswered question is how is someone getting Income Support when they part own a second property.

tomtontom

bery_451 wrote: »

If you read my post before these council house where bought cheap.


So if her share of the property is not worth over £16000 capital then its not fraud according DWP stating to me on the phone today.


Thank you, I will advise her to go CAB.

Any capital over £6000 affects her entitlement to means tested benefits. Even if less than this a second property must be declared.

The purchase price does not necessarily reflect the resale price. What is the value of the property now?

Housing_Benefit_Officer

bery_451 wrote: »

If you read my post before these council house where bought cheap.


So if her share of the property is not worth over £16000 capital then its not fraud according DWP stating to me on the phone today.


Thank you, I will advise her to go CAB.

Irrespective of the cheap purchase price the value is calculated at current market value not the original discounted sale price.

marliepanda

bery_451 wrote: »

If you read my post before these council house where bought cheap.

Being bought cheap does not mean they are still worth that cheap price.

Mojisola

bery_451 wrote: »

So if her share of the property is not worth over £16000 capital then its not fraud according DWP stating to me on the phone today.

tomtontom wrote: »

Any capital over £6000 affects her entitlement to means tested benefits.

As above - any capital over £6000 counts.

I find it hard to believe that any property fit to live in is worth less than £32000 (£16000 for her share) at which point all mean tested benefit would stop.

Ames

When I was looking into RTB two or three years ago there were perfectly habitable flats going for twenty or thirty grand. Add in a mortgage and it's quite feasible someone could own half of one and still be within capital limits.

Five years ago there were ex council flats going for that much on the open market, mainly because they were unmortgageable due to construction materials.

Somerset

Housing_Benefit_Officer wrote: »

.

The big unanswered question is how is someone getting Income Support when they part own a second property.

Easily. They don't declare it.

NYM

Somerset wrote: »

Easily. They don't declare it.

But that's very naughty!

Housing_Benefit_Officer

Somerset wrote: »

Easily. They don't declare it.

There are circumstances where a second property could be disregarded as capital. But they have to be very specific.