Council tax in two places?

Splitpin100

Hi we live in a small rented flat in London where we pay our Council Tax (My husband, son & I).
I inherited some money after parental loss, and decided to buy a small house with my husband outside of London in East Sussex, a different council.
As I will still work in London for most likely two years, we will keep the flat in London and live across both properties (which of course will be expensive).
Our son will stay in the London flat for the time being too. 
I realise we will pay two Council Taxes, as we will live equally across both the rented London flat and newly owned East Sussex house , but not sure how that works? 
Advice welcome, thank you

born_again

You may find that one council will charge more on a 2nd home.
So you will have to decide which is your main residence.

uptdale

Most councils now charge double council tax on second homes (i.e. houses which are furnished but no-one's main home).  

Will the son live only in the London flat, or will he also live in both properties?  If the flat is his main residence, it won't attract the second home premium.  The issue then is whether there will be enough evidence for the Sussex property to be treated as the parents' main residence.

lincroft1710

uptdale said:

Most councils now charge double council tax on second homes (i.e. houses which are furnished but no-one's main home).  

Will the son live only in the London flat, or will he also live in both properties?  If the flat is his main residence, it won't attract the second home premium.  The issue then is whether there will be enough evidence for the Sussex property to be treated as the parents' main residence.

If the son is not named on the tenancy of the London flat, he has no CT responsibility as one or both parents would be the tenant(s) and thus responsible for CT

Splitpin100

Thank you. That is really helpful. Our son is not on the rented London tenancy, so not responsible for CT. I will live in the bought East Sussex property and visit the rented London flat for work for a while. I guess with my husband's name and mine on the London tenancy and the East Sussex house we have to pay all? Is that basic CT London and Double East Sussex, so the equivalent of three?

kimwp

Might be worth a read, particularly the last post

https://forums.moneysavingexpert.com/discussion/6531695/relationship-between-council-tax-on-second-home-capital-gains-tax-exemption-on-main-residence/p2

Splitpin100

Thank you kimwp! I will be using the London flat for work, just for a year or two, so maybe that will help! I really appreciate the help! Thanks!

uptdale

lincroft1710 said:

uptdale said:

Most councils now charge double council tax on second homes (i.e. houses which are furnished but no-one's main home).  

Will the son live only in the London flat, or will he also live in both properties?  If the flat is his main residence, it won't attract the second home premium.  The issue then is whether there will be enough evidence for the Sussex property to be treated as the parents' main residence.

If the son is not named on the tenancy of the London flat, he has no CT responsibility as one or both parents would be the tenant(s) and thus responsible for CT

As I understand it, a tenant is not liable for council tax if he is not "resident" in the dwelling, and "resident" is defined as "an individual who has attained the age of 18 years and has his sole or main residence in the dwelling" (Local Government Finance Act 1992 s.6(5)).  So if the flat is not the main residence of the parents (because their main residence is the Sussex house) but is the main residence of the son, the liability would drop down to the son (under the liability hierarchy in s.6(2)), assuming he is over 18.

lincroft1710

uptdale said:

lincroft1710 said:

uptdale said:

Most councils now charge double council tax on second homes (i.e. houses which are furnished but no-one's main home).  

Will the son live only in the London flat, or will he also live in both properties?  If the flat is his main residence, it won't attract the second home premium.  The issue then is whether there will be enough evidence for the Sussex property to be treated as the parents' main residence.

If the son is not named on the tenancy of the London flat, he has no CT responsibility as one or both parents would be the tenant(s) and thus responsible for CT

As I understand it, a tenant is not liable for council tax if he is not "resident" in the dwelling, and "resident" is defined as "an individual who has attained the age of 18 years and has his sole or main residence in the dwelling" (Local Government Finance Act 1992 s.6(5)).  So if the flat is not the main residence of the parents (because their main residence is the Sussex house) but is the main residence of the son, the liability would drop down to the son (under the liability hierarchy in s.6(2)), assuming he is over 18.

It is a moot point as in the hierarchy of liability the son would be below the parents.Also it can be argued that the London flat is the main residence.

lincroft1710

Splitpin100 said:

Thank you kimwp! I will be using the London flat for work, just for a year or two, so maybe that will help! I really appreciate the help! Thanks!

The problem is that you would have had to have rented/bought somewhere to live because of work. You have bought a property away from your work.

uptdale

lincroft1710 said:

uptdale said:

As I understand it, a tenant is not liable for council tax if he is not "resident" in the dwelling, and "resident" is defined as "an individual who has attained the age of 18 years and has his sole or main residence in the dwelling" (Local Government Finance Act 1992 s.6(5)).  So if the flat is not the main residence of the parents (because their main residence is the Sussex house) but is the main residence of the son, the liability would drop down to the son (under the liability hierarchy in s.6(2)), assuming he is over 18.

It is a moot point as in the hierarchy of liability the son would be below the parents.

It is only a moot point if the parents are resident in the flat (i.e. the Sussex property is not their main residence).  The point I was making was that as far as I can see the parents would not be in the hierarchy of liability at all if they were neither "resident" in the flat (as defined) nor the owners of the flat.  I can't see anything in LGFA s.6(2) which makes a tenant who is not "resident" (i.e. has a main residence elsewhere) liable for council tax.