Double Council Tax demands after a death - truly awful.

Cash_Cow

Lost dad 4 yrs ago and half the house was assigned to me as tenants in common with Mum.  After my mum died recently I now get a CT bill for £5k dated the day after her death - twice the normal rate as its now a 'holiday home'.  This is the house I was born and raised in but has no life in it now - and I live 160 miles away. Council tax people suggest I can remove the furniture and then get a 6 month stay of execution.  There is too much furniture to store. I also feel that they are overreaching into peoples lives and property to demand such a thing after a death but am on a loser there!

I find it diabolical that they are straight in like this and don't leave people time to grieve or time to get things sorted.  I don't own the full house only half the house - and it has no real worth as it is unsellable as my half is worth nothing as a tenant in common with my passed mum. You cant sell half a house! After probate I can register to me and sell of course  This will take min 6 months.

The only solution I can think of is to appeal to their better nature to give us TIME (in progress) and failing that to name my 18 yr old daughter on the council tax and at least get to pay the std rate with a single person's discount.  £170 pm or so not £400+. I could name my son who is in full time education (albeit 160 miles away) as he would be exempt...?

What an awful situation - does anyone have any advice as I think they can use discretion (but I called them grave robbers in an email as they treated my childhood home as a holiday let - oops)!.

comeandgo

Condolences for your loss.
Afraid council will have their hands tied due to legislation regarding payment of council tax.  My mother died, she did not pay much council tax due to pension credit but as soon as she died the council tax became the full rate.  

user1977

In practice with an executry I think they'll generally understand there won't be cash readily available, and you can just pay the arrears when a sale of the property completes.

Slithery

Cash_Cow said:

...failing that to name my 18 yr old daughter on the council tax and at least get to pay the std rate with a single person's discount.  £170 pm or so not £400+. I could name my son who is in full time education (albeit 160 miles away) as he would be exempt...?

You can only name people on the council tax for discount purposes if they are actually living there. If it isn't their main residence you would be committing fraud.

Cash_Cow

Thanks for the replies

My other option to mitigate is to Air B&B it but its awful to feel forced into such a thing as my Mum died and it is not my desire.

My daughter would be very happy there for summer as she's just finishing A levels and I feel some form of fraud is being perpetrated against me here!!! [I know its technically not but a £5k bill out of the blue is pretty shattering because they prefer not to acknowledge that a house may be genuinely empty for a few months following the only residents death - its pretty callous]

thegreenone

Sorry for your loss.

The sad thing is that your Dad probably thought he was doing the right thing giving you half the house*.  However, had your Mum needed care, the council could have seen the split ownership as deprivation of assets and you could've been in a much bigger pickle than you are now. 

I'm sorry, the house may be empty after your Mum's death but you have owned half the house for four years and are now liable for second home CT.  I do hope the council will give you some breathing space.

*May be a lesson for those thinking of doing this in future.  

thegreenone

comeandgo said:

Condolences for your loss.
Afraid council will have their hands tied due to legislation regarding payment of council tax.  My mother died, she did not pay much council tax due to pension credit but as soon as she died the council tax became the full rate.  

My Mum died in November, probate was granted in May and the flat was sold end of October just as the CT demand came in.  Six  months after grant of probate.  I didn't pay a thing and was given a refund (Mum's time in hospital to date of death).  

Gavin83

I'm confused by the math here. If they're charging £400 a month from the date of death where has the £5k amount come from?

canaldumidi

I'm afraid no fraud is being perpetrated against you- there are strict laws governing CT and the council is following them. If you mum had been the sole owner when she died, then CT would not be due on her death till, I think, either Probate was granted or 6 months thereafter - giving relatives time to deal with the property eg by selling.

Unfortunately as a joint owner (you) survives, this does not apply here, and furthermore it is not your main residence, hence the 'holiday home' category.

Yes, if your daughter actually moved in she would become liable for the CT and could claim the single person discount. But do be careful not to commit fraud by pretending she has moved in.....

What is the longer term plan? Who inherits mum's share under her will? Do you plan to keep the property or sell? If keep, what for? Rent? Holiday/2nd home? Move in? You or another family member (daughter?)........?

If sell, then you'll need to deal with the furniture and preferably get on the market asap.

Keep_pedalling

Cash_Cow said:

Thanks for the replies

My other option to mitigate is to Air B&B it but its awful to feel forced into such a thing as my Mum died and it is not my desire.

My daughter would be very happy there for summer as she's just finishing A levels and I feel some form of fraud is being perpetrated against me here!!! [I know its technically not but a £5k bill out of the blue is pretty shattering because they prefer not to acknowledge that a house may be genuinely empty for a few months following the only residents death - its pretty callous]

That is not the case, the OPs father was entitled to leave his share to anyone he wished his mother did not deprive herself of anything. The mistake was to not leave it in trust with his wife given a life interest as the OP may now be hit with a CGT bill when the property is sold.

Cash_Cow

Gavin83 said:

I'm confused by the math here. If they're charging £400 a month from the date of death where has the £5k amount come from?

Approx 12x£400 = £5k ish...