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Council Tax & Building Control

Hi All!

I appreciate council tax is down to the area you live in but want to check if this is standard practice or whether I am being fobbed off! - first time buyer, easily done!

We have recently bought a property that was unoccupied for at least 2 years, seller's mum passed away 8 years ago so it could well have been 8 years. I rang up to see if we could get the exemption for 6 months whilst we carry out some works. They have stated that I would not qualify for the unfurnished and unoccupied exemption as the previous owner used up the houses allowance of this (6 months).

I was shocked to hear that the 'allowance' was based on property rather than person. So basically, the seller could purchase another property with the money I have given him for this property and get the 6 month allowance again but me as a FTB don't get it because the previous person did.

I also explained that the property require works to include new bathroom and kitchen and was met with "you won't get any discount just because it doesn't have a kitchen and bathroom". Slightly confused, as I couldn't get a mortgage on a property without these rooms?

Sorry for the rant but I am new to all of this and it all seems a bit backwards to me. I am not requesting another 6 months because it will be empty, I am requesting a few months exemption so I can get a kitchen and bathroom fitted.

On another note, I got the lady to agree to inspect the place to see if I can have the exemption based on the work that needs to be carried out. Although, I am fearful I will get a huge bill for building control. I am spending thousands on getting fully qualified, regulated and experienced people in so another thing I begrudge paying for!

Thank you in advance for any input :)
«13

Comments

  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    The lack of occupation is continuous - and did not come as any kind of surprise to you - and that's what the exemption is based on.

    The property has been unoccupied for two years. If it's re-occupied, then later becomes empty again, the clock starts afresh. If it was purely on the property's ownership, then there'd be all sorts of scams going around with changing the ownership every six months.

    When you say the works include new kitchen and bathroom - do you mean it doesn't currently have a habitable kitchen and bathroom, or they're just a bit outdated and not very nice? It does not take months to fit a kitchen and bathroom to a basic habitable standard. You could do that in a day or two.

    Building control is completely separate from CT exemption.
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 28 November 2016 at 8:09PM
    Assuming you're in England.

    As above - the two year period for the Council Tax premium runs across owners and continues to run as long as the required circumstances are met - the property being unoccupied and substantially unfurnished.

    If the property is occupied, substantially furnished (or both) the period for the Council Tax premium will be broken and it will cease to apply (this situation must continue to apply for 6 weeks or longer).

    It does surprise people that properties would be swapped around to alter Council Tax liability but it does happen a lot (I've seen it happen repeatedly within some families) so safeguards have to be built-in.

    Craig
    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.
  • Thank you for clarifying this.

    I think I simply needed an explanation such as yours.

    The property needs a complete renovation but everything I mentioned seemed to not fall under the "extensive works". I mentioned it would be inhabitable as it would be lacking bathroom and kitchen for some months - ground needs digging up, with installation of a membrane as there is severe damp penetrating from beneath. Currently there are no ceilings as they were old and needed replacing.

    There is currently no hot water (it was powered by a very old aga) but heating engineers have told me not to put it on as it would not be safe. Hence not being able to use the bath (although, this is hanging off the wall so I wouldn't attempt it).

    Anyway, in my opinion it is inhabitable by modern standards and I hope they will agree. I'm not trying to get out of paying the council tax for longer than necessary but just until it is habitable so my money is being spent on the renovations rather than £2000 a year on council tax where I do not live there nor have the ability to do so until the work is carried out.

    After the above explanation, I was met with "I'll send an inspector around".
  • CIS- I am in Wales.

    Thank you for responding. It does surprise me but I suppose it would be much easier to do in terms of occupiers/ tenants. In our case, we have bought the property so slightly stumped by it all!
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    in my opinion it is inhabitable by modern standards
    Ah, now that's an important qualification...
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 28 November 2016 at 8:21PM
    CIS- I am in Wales.

    Thank you for responding. It does surprise me but I suppose it would be much easier to do in terms of occupiers/ tenants. In our case, we have bought the property so slightly stumped by it all!

    In which case the empty property premium won't apply until April 17 so you're safe in that respect for now.

    The rules regarding the required break in the conditions regarding any discount/exemptions still apply in the same way as for the empty property premium (works the same in England & Wales)

    Even owners try the swapping game - I know of one family where they regularly 'sell' the property for a nominal fee to uncles, cousins and brothers whenever they need to swap things around (and it's all registered legally with the land registry)

    Craig
    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.
  • Mossfarr
    Mossfarr Posts: 530 Forumite
    Ninth Anniversary Combo Breaker Hung up my suit!
    Not all Local Authorities offer an unoccupied exemption period
    any more - mine doesn't.
    As a landlord I used to be able to claim it during void periods between tenants or whilst carying out initial renovations - not any more!
  • Thank you both! :)

    I shall await the report from the inspector. I can't see him/ her disagreeing with me!
  • Mossfarr- my LA has an exemption for extension structural works (the one I am claiming) so I guess it would not cover smaller renovations, as the lady stated I wouldn't qualify for the exemption because my property lacked both a functioning bathroom and kitchen.
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Anyway, in my opinion it is inhabitable by modern standards and I hope they will agree.

    Presumably you mean uninhabitable ?

    Which Welsh authority does the property fall under ?

    Craig
    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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