Buying property but states liable to 300% council TAX due to being empty.

taichi4me

SO, I'm looking at buying a property and looks like an old man lived there before going to a home for 5 years before he passed.
The estate agents saying -
This property has been unoccupied for some 5 years so is currently liable for Council Tax at 300% of the usual rate.
GOV site says -
Some homes do not get a Council Tax bill for as long as they stay empty. They include homes

• of someone who’s moved into a care home or hospital

(Yeah GOV site has typo)

If you buy the home, surely you're not responsible for former empty status..?

Thoughts please.

Simon.

Flugelhorn

on the BANES site it has this "This means that if you buy a long-term empty property, you will become liable for the extra charge until the circumstances at the property change."  so presumably until is furnished and occupied??

https://beta.bathnes.gov.uk/council-tax-and-unoccupied-properties

housebuyer143

taichi4me said:

SO, I'm looking at buying a property and looks like an old man lived there before going to a home for 5 years before he passed.
The estate agents saying -
This property has been unoccupied for some 5 years so is currently liable for Council Tax at 300% of the usual rate.
GOV site says -
Some homes do not get a Council Tax bill for as long as they stay empty. They include homes

• of someone who’s moved into a care home or hospital

(Yeah GOV site has typo)

If you buy the home, surely you're not responsible for former empty status..?

Thoughts please.

Simon.

Are you moving into it right away? If yes, then you pay normal council tax. If no, then yes, you are liable for the houses former status until you live in it. 
Council tax is levied on the property and this is the same for exemptions and additional rates.

ThisIsWeird

When will you be moving in?

who's = who has.

user1977

Why was the estate agent telling you about the current owner’s council tax? It will stop being empty as soon as you move in.

MattMattMattUK

user1977 said:

Why was the estate agent telling you about the current owner’s council tax? It will stop being empty as soon as you move in.

Because if it was going to be bought and then refurbished without being occupied the new owner would be liable for Council Tax at 300%, not at the standard rate. 

ArbitraryRandom

taichi4me said:

SO, I'm looking at buying a property and looks like an old man lived there before going to a home for 5 years before he passed.
The estate agents saying -
This property has been unoccupied for some 5 years so is currently liable for Council Tax at 300% of the usual rate.
GOV site says -
Some homes do not get a Council Tax bill for as long as they stay empty. They include homes

• of someone who’s moved into a care home or hospital

(Yeah GOV site has typo)

If you buy the home, surely you're not responsible for former empty status..?

Thoughts please.

Simon.

The key points are the house has been empty for more than 5 years; The 'clock' does not reset until the house is no longer empty.  

There might have been £0 liability for council tax while the gentleman was living in the care home, but as far as I am aware that exemption only persists for the estate for 6 months or until the day it is transferred to a new owner.  

If, on the day you take ownership, you occupy the property - on that day you will become liable for the council tax at the applicable rate (with single person discount/ student 0 rate exemption/ etc that you may be entitled to). 

If, on the day you take ownership, you do NOT occupy the property - for the period of your ownership until the property is no longer empty you will be liable for council tax at the additional rate (in this case currently 300% and going to 400% if it remains empty for a total of 10 years).

This will be calculated by the day, so while you may receive a council tax 'demand' for 300% payment for the year and your first payment will reflect this higher amount, it will be recalculated and a new bill issued once you inform them you have occupied the property. 

Sarahspangles

The property has been empty for a long time, what made it exempt was the fact it was owned by a care home resident.  The fact it’s changing hands doesn’t restart the clock.

If buying it means you’re going to incur costs, because you won’t be moving in straight away, you ask the old chap’s executors to reduce the price. If it needs work like complete reroofing then you may get an exemption for the period it’s uninhabitable but it would be wise to discuss this with the Council

taichi4me

Thank you all so much ... speedy responses all round and clears things up. House wouldn't immediately be occupied as it's in need of gutting and refurb'd ... But, if the kitchen / bathroom taken out and shown to be uninhabitable then an exemption may apply. Worst case scenario, pay the extra and motivate to move in.!

RAS

Depending on your situation, maybe clean enough to "move in", register for standard CT. Then look at gutting and applying for exemption? Renew standard CT when the loo/kitchen are re-fitted.

TheJP

user1977 said:

Why was the estate agent telling you about the current owner’s council tax? It will stop being empty as soon as you move in.

Perhaps they wanted to be transparent with the detail involved within this property.