Council Tax - flat above shop

justanothertenant

I need some advise please. I live in a flat above a shop. We share a door so the only access to the flat is through the shop. We also share an electric, heating and water system. The heating system is in my bathroom so if the tenants in the shop want the heating on they have access via an unlocked rest door to my bathroom to control it (access to the rest of the flat is locked off from them and trust of both parties). My rent is all inclusive of bills and I have lived here approx 3 years on a rolling tenancy agreement when my first one ran out and I believe the address of the flat is tegistered as an actual separate address. That's the back ground but this is my query. My landlord recently contacted me to advise that the tenants of the shop are 'changing something' with their business rates and because of that I will need to start paying council tax, I don't have a clue about business rates tbh so didn't question It further. It is my understanding council tax has not been paid before, I can't confirm this, it's just a feeling I have. Am I legally obliged to pay council tax if I share a door and utility systems with the shop downstairs? I get on very well with landlord and shop tenants but worried that myself/ landlord will have to pay backdated council tax and it may affect the shops business rates, I can't afford that and worried that having a valuation officer get involved will hugely disrupt my happy relationship with landlord and shop tenants. I could ask the landlord for a new tenancy agreement to start paying council tax from that date but worried it is fraud. I have tried to read up on council tax for flats above shops with shared access/facilities but i cant find anything to settle my mind.  Any advice would be gratefully appreciated. Thank you in advance 

hazyjo

Why didn't you think you were required to pay Council Tax? If it's not an HMO, you should be paying it yourself (AFAIK). It wouldn't be included in the shop's business rates.

So where are you registered for council tax? It will prob be harming your credit file if nowhere!

The whole setup doesn't sound like a legal let to me.
PS if you were responsible and haven't been paying, you may owe backdated council tax!

anselld

No need to involve the VOA, you can search here to see if it is registered as a separate address... http://cti.voa.gov.uk/cti/inits.asp

If it is then there is no doubt you need to pay Council Tax, however pay it directly to the Council not to the Landlord.

CIS

justanothertenant said:

I need some advise please. I live in a flat above a shop. We share a door so the only access to the flat is through the shop. We also share an electric, heating and water system. The heating system is in my bathroom so if the tenants in the shop want the heating on they have access via an unlocked rest door to my bathroom to control it (access to the rest of the flat is locked off from them and trust of both parties). My rent is all inclusive of bills and I have lived here approx 3 years on a rolling tenancy agreement when my first one ran out and I believe the address of the flat is tegistered as an actual separate address. That's the back ground but this is my query. My landlord recently contacted me to advise that the tenants of the shop are 'changing something' with their business rates and because of that I will need to start paying council tax, I don't have a clue about business rates tbh so didn't question It further. It is my understanding council tax has not been paid before, I can't confirm this, it's just a feeling I have. Am I legally obliged to pay council tax if I share a door and utility systems with the shop downstairs? I get on very well with landlord and shop tenants but worried that myself/ landlord will have to pay backdated council tax and it may affect the shops business rates, I can't afford that and worried that having a valuation officer get involved will hugely disrupt my happy relationship with landlord and shop tenants. I could ask the landlord for a new tenancy agreement to start paying council tax from that date but worried it is fraud. I have tried to read up on council tax for flats above shops with shared access/facilities but i cant find anything to settle my mind.  Any advice would be gratefully appreciated. Thank you in advance 

It's a residential property so council tax is due - 'changing something with the business rates' just means that they've been caught out and the council have realised that there's a flat that is being used for residential purposes.

Council Tax will be backdated to start of your actual liability.

lincroft1710

Even on a Band A (which your flat sounds like it will be), a bill for 3 years will not be cheap. Your landlord should have ensured the flat had or was in process of getting a CT band when you moved in.

elsien

What did your initial tenancy agreement say about what was inclusive or exclusive of the rent? 

CIS

elsien said:

What did your initial tenancy agreement say about what was inclusive or exclusive of the rent? 

That won't affect his liability for council tax, it might however give him an argument to try and pursue the landlord separately.

CIS

I could ask the landlord for a new tenancy agreement to start paying council tax from that date but worried it is fraud

It would make no difference - you have been the resident so the council tax charge is yours even without a tenancy agreement.