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Council Tax for empty property

Hello all. I recently bought a property in Wales. The property was empty when it came onto the market and has remained empty and unfurnished since I acquired it pending renovation work.

I have been told that I am entitled to a discount of 50% on the council tax because the property is empty. I expected to be entitled to a six month period where I would not be required to pay council tax as the property was empty.

The valuation office has since told me that I am not entitled to the second discount as this was taken up by the previous owners in January 2016 via probate. They had the house cleared immediately.

The discount is applied to the property NOT the owner (apparently).?

Does this sound right? It seems illogical to me! Any advice and comments would be most welcome. MTIA.

Comments

  • Le_Kirk
    Le_Kirk Posts: 26,297 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Possibly have a read of this link. It's possible that mistakes are being made as there is a section about only paying council tax 6 months after being granted probate.
  • dj1471
    dj1471 Posts: 1,969 Forumite
    Part of the Furniture 1,000 Posts Home Insurance Hacker!
    Yes, that is usually how it works. The discount is available for the property for a limited period, a change in owner doesn't reset the clock.

    Be grateful you're getting any discount, a lot of councils don't offer this any more.
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    The valuation office has since told me that I am not entitled to the second discount as this was taken up by the previous owners in January 2016 via probate. They had the house cleared immediately.
    Council Tax discounts etc have nothing to do with the Valuation Office so they shouldn't be advising on it - it's the council's remit.

    Reductions on an unoccupied and unfurnished property take in to account the status of the property and not that of the owner - a change of owner does not 're-set' the periods used to calculate the reduction (it stops ownership being moved around to avoid charges - which does happen).

    Presumably you wanted a Class C exemption for the 6 months and instead you've just been given the council's 50% follow on discount ? - if so then the 6 month would have started ticking from when the property first became unoccupied and substantially unfurnished. If this was more than 6 months ago then the exemption would not apply until the qualifying period could be re-set.

    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.
  • Mr.Generous
    Mr.Generous Posts: 4,048 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    We get hit with a council tax surcharge of +50% when a property has been empty 6 months or more, from the date purchased sometimes. Council tax has guidelines and they are slightly differently interpreted on occasion.

    Some major renovation work can give you an exemption, rotten floor joists are about the least awkward!

    Otherwise move in alone and claim a single persons discount. Done that when surcharged +50% to halve the bill, ie billed at 150%, move in 1 adult, now qualifies for std tax less 25% discount - so 75%.

    I hate council tax.
    Mr Generous - Landlord for more than 10 years. Generous? - Possibly but sarcastic more likely.
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    We get hit with a council tax surcharge of +50% when a property has been empty 6 months or more, from the date purchased sometimes. Council tax has guidelines and they are slightly differently interpreted on occasion.

    A long term empty property premium (from 0% - 200% increase depending on where exactly the property is) can only apply after 12 months in Wales, 2 years in England or 12 months in Scotland.
    Otherwise move in alone and claim a single persons discount. Done that when surcharged +50% to halve the bill, ie billed at 150%, move in 1 adult, now qualifies for std tax less 25% discount - so 75%.
    Moving in solely to claim a discount would not work if the council are given the full information - 'intention to return' and 'sole or main residence' would prevent it applying.

    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.
  • Annie1960
    Annie1960 Posts: 3,009 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper Combo Breaker
    There are no longer national rules on council tax discounts. Each LA sets its own policy, so you will need to check with them.
  • CIS
    CIS Posts: 12,260 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    It is correct that the % discount can be varied by local authorities but the majority of other rules, such as what happens on the change of owners, aren't (yet) delegated.
    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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