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Council tax rebate eligibilty - joint tenants who pay council tax but house is registered as HMO
L_Daw
Posts: 4 Newbie
Hello,
This is the first time posting on the forum and I need some advice.
I live in a property with 4 housemates. We are joint tenants. We signed the contract together and tent the whole property. We assigned our own rooms and the rent is price for the whole property, which we split between ourselves. We are responsible for the council tax and all bills. When a housemate wishes to move out, we are responsible for finding a replacement. We are on low-income for the area and most of us are eligible for council tax reduction.
We applied for the council tax rebate as soon as it was announced in April this year. We have been waiting all this time for it to be awarded. The £150 was awarded to us in October, only for it to be immediately taken back.
I have rung the council and I have been told that the house is registered as an HMO and so we are not eligible for the rebate because as an HMO the landlord is liable for the council tax. It is true that the house is HMO according to the Housing Act; however, we are joint tenants under a single tenancy agreement and have been paying the council tax.
According to Shelter:
On the basis of Council Tax (Liability for Owners) Regulations 1992 definition of HMO for council tax purposes, 'it has been held that joint tenants who were not related but had exclusive possession of the whole dwelling under a single tenancy agreement, providing for a single rent payment per period, for which all of them were jointly and severally liable, were not living in a HMO and were therefore liable to pay council tax on that property.' Reference to R (on the application of Goremsandu) v Harrow LBC [2010] EWHC 1873 (Admin).
The council told me the landlords are allowed to register the property as an HMO but then have a joint tenancy agreement. I wish to know, can we still be eligible for the council tax rebate? It seem that this situation does not fall under the 'HMO for council tax purposes' exception for the rebate that would make us ineligible. We are joint tenants and we are liable for the council tax and according to the 1992 definition are not an HMO. The £150 would make a great deal of difference to us.
Our landlords can be a bit shady and I am sure they will have done what is the best for them to get out of paying what they need to -- it seems to me they are getting the best of both... having an 'HMO' property with several tenants, but not liable for council tax, bills, etc.
Thank you for your help
This is the first time posting on the forum and I need some advice.
I live in a property with 4 housemates. We are joint tenants. We signed the contract together and tent the whole property. We assigned our own rooms and the rent is price for the whole property, which we split between ourselves. We are responsible for the council tax and all bills. When a housemate wishes to move out, we are responsible for finding a replacement. We are on low-income for the area and most of us are eligible for council tax reduction.
We applied for the council tax rebate as soon as it was announced in April this year. We have been waiting all this time for it to be awarded. The £150 was awarded to us in October, only for it to be immediately taken back.
I have rung the council and I have been told that the house is registered as an HMO and so we are not eligible for the rebate because as an HMO the landlord is liable for the council tax. It is true that the house is HMO according to the Housing Act; however, we are joint tenants under a single tenancy agreement and have been paying the council tax.
According to Shelter:
On the basis of Council Tax (Liability for Owners) Regulations 1992 definition of HMO for council tax purposes, 'it has been held that joint tenants who were not related but had exclusive possession of the whole dwelling under a single tenancy agreement, providing for a single rent payment per period, for which all of them were jointly and severally liable, were not living in a HMO and were therefore liable to pay council tax on that property.' Reference to R (on the application of Goremsandu) v Harrow LBC [2010] EWHC 1873 (Admin).
The council told me the landlords are allowed to register the property as an HMO but then have a joint tenancy agreement. I wish to know, can we still be eligible for the council tax rebate? It seem that this situation does not fall under the 'HMO for council tax purposes' exception for the rebate that would make us ineligible. We are joint tenants and we are liable for the council tax and according to the 1992 definition are not an HMO. The £150 would make a great deal of difference to us.
Our landlords can be a bit shady and I am sure they will have done what is the best for them to get out of paying what they need to -- it seems to me they are getting the best of both... having an 'HMO' property with several tenants, but not liable for council tax, bills, etc.
Thank you for your help
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Comments
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Is the council tax bill in one of the 5 names of the joint tenancy?L_Daw said:We are responsible for the council tax and all bills. When a housemate wishes to move out, we are responsible for finding a replacement. We are on low-income for the area and most of us are eligible for council tax reduction.
Let's Be Careful Out There0 -
Hi @HillStreetBlues, the council tax is in the name of all 5 of us.0
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https://www.gov.uk/guidance/council-tax-rebate-factsheet
2. Am I eligible for the core council tax rebate scheme?
Households are eligible for the council tax rebate if they were liable for council tax on, and lived in, a property in council tax bands A to D as their main home on 1 April 2022.
And
https://commonslibrary.parliament.uk/the-council-tax-rebate-how-will-it-work/
A rebate is not available on a House in Multiple Occupation (HMO). This is because the landlord is liable for council tax in this situation. The billing authority guidance says that “Where the council is aware that the liable council tax payer for a chargeable dwelling does not occupy the property… no-one will be eligible for the rebate in relation to that property.”
Both of these suggest you should get the rebate.
All 5 of you were liable for CT
The CT payer(s) does occupy the property.
Let's Be Careful Out There0 -
@HillStreetBlues
Thanks. This is how I interpret it too. I shall send an email to the council stating those points.0 -
If no joy with council lodge a complaint.
Let's Be Careful Out There0 -
How would I lodge a complaint? Would that be with the council?0
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