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SMI Exemption from Council Tax & student dependents

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Comments

  • sheramber
    sheramber Posts: 22,996 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
  • Blancmang25
    Blancmang25 Posts: 78 Forumite
    10 Posts Name Dropper
    edited 4 July at 12:57PM
    sheramber said:
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
    Council Tax is based on a dwelling made up of 50% property and 50% occupants.(so you can have two adults who are disregarded but you still pay the 50% property charge).
    Below is a link to explain how discounts and exemptions apply to council tax and there are also a couple of examples. I hope this makes a bit more sense.
    At the bottom of the page(on the link) there is a fact sheet which will explain.
    https://www.carersuk.org/help-and-advice/financial-support/help-with-bills-and-household-costs/help-with-council-tax/
  • silvercar
    silvercar Posts: 49,805 Ambassador
    Part of the Furniture 10,000 Posts Academoney Grad Name Dropper
    sheramber said:
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
    Council Tax is based on a dwelling made up of 50% property and 50% occupants.(so you can have two adults who are disregarded but you still pay the 50% property charge).
    Below is a link to explain how discounts and exemptions apply to council tax and there are also a couple of examples. I hope this makes a bit more sense.
    At the bottom of the page(on the link) there is a fact sheet which will explain.
    https://www.carersuk.org/help-and-advice/financial-support/help-with-bills-and-household-costs/help-with-council-tax/
    If that is the case, why are student houses completely exempt and pay nothing?
    I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
  • sheramber
    sheramber Posts: 22,996 Forumite
    Part of the Furniture 10,000 Posts I've been Money Tipped! Name Dropper
    sheramber said:
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
    Council Tax is based on a dwelling made up of 50% property and 50% occupants.(so you can have two adults who are disregarded but you still pay the 50% property charge).
    Below is a link to explain how discounts and exemptions apply to council tax and there are also a couple of examples. I hope this makes a bit more sense.
    At the bottom of the page(on the link) there is a fact sheet which will explain.
    https://www.carersuk.org/help-and-advice/financial-support/help-with-bills-and-household-costs/help-with-council-tax/
    From your link

    . If no one is eligible for Council Tax, there may be a 50% reduction


    Why are student households not charged 50%? 
  • Blancmang25
    Blancmang25 Posts: 78 Forumite
    10 Posts Name Dropper
    silvercar said:
    sheramber said:
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
    Council Tax is based on a dwelling made up of 50% property and 50% occupants.(so you can have two adults who are disregarded but you still pay the 50% property charge).
    Below is a link to explain how discounts and exemptions apply to council tax and there are also a couple of examples. I hope this makes a bit more sense.
    At the bottom of the page(on the link) there is a fact sheet which will explain.
    https://www.carersuk.org/help-and-advice/financial-support/help-with-bills-and-household-costs/help-with-council-tax/
    If that is the case, why are student houses completely exempt and pay nothing?
     Because the entire property can be exempt if everyone living in it is a student under Class N of The Council Tax(Exempt Dwellings) Order 1992
  • silvercar
    silvercar Posts: 49,805 Ambassador
    Part of the Furniture 10,000 Posts Academoney Grad Name Dropper
    edited 4 July at 6:06PM
    silvercar said:
    sheramber said:
    i agree with silvercar. it doesn't make sense

    A house with all full time students is exempt.

    But

    A full time student is disregarded

    So a house with all full time students  is a household where all are disregarded so get 50% discount?
    Council Tax is based on a dwelling made up of 50% property and 50% occupants.(so you can have two adults who are disregarded but you still pay the 50% property charge).
    Below is a link to explain how discounts and exemptions apply to council tax and there are also a couple of examples. I hope this makes a bit more sense.
    At the bottom of the page(on the link) there is a fact sheet which will explain.
    https://www.carersuk.org/help-and-advice/financial-support/help-with-bills-and-household-costs/help-with-council-tax/
    If that is the case, why are student houses completely exempt and pay nothing?
     Because the entire property can be exempt if everyone living in it is a student under Class N of The Council Tax(Exempt Dwellings) Order 1992
    Class U would exempt anyone who is SMI and the entire property remains exempt if the other occupiers are students:

    Dwelling occupied by people with severe mental impairment
    A dwelling which is occupied solely by one or more people with severe mental impairment is exempt under class U. [44]
    Certain other people living in the same household who are not severely mentally impaired do not affect this exemption. They include:
    • students

      a spouse, civil partner or dependent of a student who is prevented from working or claiming benefits by immigration rules

    • people aged under 20 for the summer after they cease education

    • a relevant Ukrainian person[45]


    From here: https://england.shelter.org.uk/professional_resources/legal/debt/council_tax/exempt_dwellings

    (I only found this from trying to research class N, so thank you @Blancmang25.)

    I would quote this rule back to the council @SusC.


    I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
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