Council refuse to refund, will only credit account

19sparks91

We overpaid our council tax for 6 months on a mistaken empty property charge. This has now been resolved and North Tyneside Council have sent us an updated statement saying they owe us £1,180. Three times they said they would process the payment and we could expect it in 1-2 weeks. I rang for the 4th time today and now they are saying they can't refund it and they can only deduct my direct debit payments for this year until it is settled. I would much prefer the money in hand, is there any legislation that says I am entitled to an immediate full refund rather than a credit? Thanks

[Deleted User]

No.       

flashg67

Odd, my council have always refunded me overpayments - I had it with rental properties that were empty for a while until sold, and when I last moved house, the same. Time to raise an official complaint - at least if that is their policy, why were they telling you different before hand.

lincroft1710

flashg67 said:

Odd, my council have always refunded me overpayments - I had it with rental properties that were empty for a while until sold, and when I last moved house, the same. Time to raise an official complaint - at least if that is their policy, why were they telling you different before hand.

CT is actually due on 1 April. However councils allow payments to be made monthly over either a 10 or 12 month period. So if a refund is due because of previous overpayment on a dwelling the refund can be offset against the outstanding CT debt.

Slightly different with rentals. You would have no ongoing CT debt once sold, so as overpayment couldn't be offset against CT debt you would be refunded. Similarly if you moved house no ongoing CT debt once vacated. 


But a CTpayer can request a refund rather than have the money credited to their account. However I do not know if councils are obliged to comply.

molerat

lincroft1710 said:

CT is actually due on 1 April. However councils allow payments to be made monthly over either a 10 or 12 month period.

Councils do not "allow" you to pay over 10 /12 months, it is a statutory requirement that those payment options are available.  My council offer weekly, fortnightly, quarterly and half yearly on top of the 10 & 12 month options.

diinozzo

molerat said:

lincroft1710 said:

CT is actually due on 1 April. However councils allow payments to be made monthly over either a 10 or 12 month period.

Councils do not "allow" you to pay over 10 /12 months, it is a statutory requirement that those payment options are available.  My council offer weekly, fortnightly, quarterly and half yearly on top of the 10 & 12 month options.

BiB do you have a link to that?

19sparks91

Hi everyone, thanks for your replies. I have found the legislation that says various payments options should be available. The only thing is it says nothing about when the council owes you! 

I believe they were willing to refund it in the last tax year, but as of April I now owe them this year's £2k, which is why they won't refund only offset.

Just annoying that they agreed to refund in March and I feel like they have deliberately not done it until my next year became due. Crafty! 

lincroft1710

molerat said:

lincroft1710 said:

CT is actually due on 1 April. However councils allow payments to be made monthly over either a 10 or 12 month period.

Councils do not "allow" you to pay over 10 /12 months, it is a statutory requirement that those payment options are available.  My council offer weekly, fortnightly, quarterly and half yearly on top of the 10 & 12 month options.

"allow" may not have been the correct term, but my point was that CT is actually due on 1 April. Further if a CTpayer defaults on the agreed payment option, then their outstanding CT balance is immediately due and they forfeit any instalment option

molerat

diinozzo said:

molerat said:

lincroft1710 said:

CT is actually due on 1 April. However councils allow payments to be made monthly over either a 10 or 12 month period.

Councils do not "allow" you to pay over 10 /12 months, it is a statutory requirement that those payment options are available.  My council offer weekly, fortnightly, quarterly and half yearly on top of the 10 & 12 month options.

BiB do you have a link to that?

https://www.legislation.gov.uk/uksi/1992/613/schedule/1/made

as amended by

https://www.legislation.gov.uk/uksi/2012/3086/made  item 2.13