Council Tax AoE and other stuff

Samirish

Good afternoon,
I have been having a long drawn out debate with the lovely man at my local Council office with regards to an Attachment of Earnings order I had with them.  Now, I went BR on 12 Feb, an AoE payment went out of my Feb pay, it was sent on the 13th Feb and subsequently received by the council on the 17th Feb.  They are still questioning whether this payment should be returned to me, but they also have said that a new bill was raised on the 24th February to cover from then until then end of this tax year (31 March 2020) a total of £280!!  Am I not correct in saying that my council tax bill for the remainder of this year is wiped?  He didn't seem to think so, in fact he got quite angry when I questioned this.  Should I take this to my OR? 

mwarby

I think you should discuss with the OR, as you shouldn't be making payments to debts included in the bankruptcy (it's not fair on other creditors for one). Whether or not you'll get the money from attachment of earnings back(the OR might get it back) I'm not sure but you shouldn't be paying any more

Samirish

Thank you, have contacted my OR and left it with him. 

Galloglass

Were you paying CT in installments or had you defaulted on the whole year's liability. If it is the former, then I think it will be payable as the CT debt had not crystalised by the BR date.

fatbelly

Guys this was decided by Kaye v South Oxfordshire  council

https://debtcamel.co.uk/council-tax-insolvency/

CIS

fatbelly said:

Guys this was decided by Kaye v South Oxfordshire  council

https://debtcamel.co.uk/council-tax-insolvency/

Only 6 years ago, can't expect a council to work that fast !   I know many of them struggle to deal with things that have not changed since 1 April 1993.

s40.53 of the insolvency manual - https://www.insolvencydirect.bis.gov.uk/technicalmanual/Ch37-48/chapter40/part2/part_2.htm#40.50

CIS

Samirish said:

Good afternoon,
I have been having a long drawn out debate with the lovely man at my local Council office with regards to an Attachment of Earnings order I had with them.  Now, I went BR on 12 Feb, an AoE payment went out of my Feb pay, it was sent on the 13th Feb and subsequently received by the council on the 17th Feb.  They are still questioning whether this payment should be returned to me, but they also have said that a new bill was raised on the 24th February to cover from then until then end of this tax year (31 March 2020) a total of £280!!  Am I not correct in saying that my council tax bill for the remainder of this year is wiped?  He didn't seem to think so, in fact he got quite angry when I questioned this.  Should I take this to my OR? 

The money was a provable debt in existence for the bankruptcy and should be included in full, not apportioned (as per Kaye v South Oxfordshire). Speak with the OR and they should be able to contact the council as appropriate.

fatbelly

And maybe the council could give some training to the angry man.