Council Tax on empty property ?
Discussion
As far as I am aware it differs between each local authority.
Here in Flintshire whilst my house was under renovation the council gave me 12month's 'off' after an inspector had viewed the house (no bathroom / kitchen helped).
Conversely my friend who lives in East Manchester purchased a house that had been empty for 5 months then proceeded with a full renovation and the council told him there was a 6month limit on the time they could suspend council tax payments even though the vast majority had been used by the previous owner.
Check with your local authority I'm sure they will have all the information on their website; If you've been told over the phone .... well you know the reputation of some of these council employees.
Here in Flintshire whilst my house was under renovation the council gave me 12month's 'off' after an inspector had viewed the house (no bathroom / kitchen helped).
Conversely my friend who lives in East Manchester purchased a house that had been empty for 5 months then proceeded with a full renovation and the council told him there was a 6month limit on the time they could suspend council tax payments even though the vast majority had been used by the previous owner.
Check with your local authority I'm sure they will have all the information on their website; If you've been told over the phone .... well you know the reputation of some of these council employees.
Read through the link & speak to the council concerned.
https://www.gov.uk/council-tax/second-homes-and-em...
"If you’re selling an empty property on behalf of an owner who’s died, you won’t have to pay Council Tax for up to 6 months from the day you get probate (the right to deal with the estate)."
Been through this with my late mother's properties.
https://www.gov.uk/council-tax/second-homes-and-em...
"If you’re selling an empty property on behalf of an owner who’s died, you won’t have to pay Council Tax for up to 6 months from the day you get probate (the right to deal with the estate)."
Been through this with my late mother's properties.
Exige77 said:
Council are demanding payment of Council tax. Is this correct ?
Very likely, yes. Look on your LA's website.My council used to give a 25% discount for max 12mo for properties empty whilst they "require or are undergoing major repair work or structural alterations", but that stopped last year. It's 100% of the rate from day 1 - yes, it would be cheaper for one person to officially live there. If it's empty for 2yrs, there's a 50% premium put on top.
It doesn't _have_ to be refurbished to be sold.
Here you go:
Properties exempt from Council Tax
The owner or tenant(s) don’t have to pay Council Tax on a property when it is:
Only occupied by full-time students or people under 18 – (If most but not all the occupiers are students or under 18 years of age, Council Tax still applies but normally at a reduced rate)
Unoccupied following a death – Homes are exempt for six months after the death of the person who lived there
Unoccupied and under repair – Properties undergoing major renovations are exempt for up to 12 months while the work is carried out
Unoccupied and repossessed – If your home is repossessed by the mortgage lender you no longer have to pay this tax
Armed forces accommodation – Homes provided for those in the service are exempt
Properties exempt from Council Tax
The owner or tenant(s) don’t have to pay Council Tax on a property when it is:
Only occupied by full-time students or people under 18 – (If most but not all the occupiers are students or under 18 years of age, Council Tax still applies but normally at a reduced rate)
Unoccupied following a death – Homes are exempt for six months after the death of the person who lived there
Unoccupied and under repair – Properties undergoing major renovations are exempt for up to 12 months while the work is carried out
Unoccupied and repossessed – If your home is repossessed by the mortgage lender you no longer have to pay this tax
Armed forces accommodation – Homes provided for those in the service are exempt
The laws were changing a year or 2 ago, i presume the probate exemption still remains in force
but they got rid of or shortened a lot of the statutory exemptions, they can even charge up to double rate on empty properties in certain circumstances. Councils are still entitled to grant there own exemptions which go beyond the statutory ones some do, some don't, some have implemented the penalty rates some haven't. It makes the whole thing a bit of a mess at the moment.
but they got rid of or shortened a lot of the statutory exemptions, they can even charge up to double rate on empty properties in certain circumstances. Councils are still entitled to grant there own exemptions which go beyond the statutory ones some do, some don't, some have implemented the penalty rates some haven't. It makes the whole thing a bit of a mess at the moment.
Exige77 said:
Are you required to pay Council Tax on an empty property ?
FIL passed away last year and left house to his two children. House is in no fit state to sell so currently being renovated.
Council are demanding payment of Council tax. Is this correct ?
Unfortunately I have also had to deal with this relatively recently, and like you was in a position where the house needed refurbishment before it could be put on the market.FIL passed away last year and left house to his two children. House is in no fit state to sell so currently being renovated.
Council are demanding payment of Council tax. Is this correct ?
As has been said there is an exemption of 6 months*, but after that you pay the full rate. I got absolutely nowhere trying to claim an extension of even 1 month.
I even got into an argument of sorts with the Council rep on the phone, who to be fair wasn't to blame, when I said to her that if I lied to them and told them there was a single person living there, using the various utilities you pay the tax for, I'd actually be better off (you get 25% discount in this case) - but with no one living there, and no utilities being used, you pay the full amount? Doesn't make much sense, but there you go.
edit: * It seems it varies by LA, horrible really.
Edited by Durzel on Friday 13th March 13:25
Durzel said:
I even got into an argument of sorts with the Council rep on the phone, who to be fair wasn't to blame, when I said to her that if I lied to them and told them there was a single person living there, using the various utilities you pay the tax for, I'd actually be better off (you get 25% discount in this case) - but with no one living there, and no utilities being used, you pay the full amount? Doesn't make much sense, but there you go.
You're missing the point of removing the discounts and exemptions - to strongly discourage properties being left empty for a moment longer than necessary.TooMany2cvs said:
You're missing the point of removing the discounts and exemptions - to strongly discourage properties being left empty for a moment longer than necessary.
Agreed. We have a housing shortage, and people generally oppose new developments. So getting empty houses filled quicker is an obvious strategy.Also, Councils saw a 10% drop in funding for council benefits last year, and removing discounts like this helped fill the hole without cutting serviced or benefits too much.
Ian
The rebates have been reduced because the councils are strapped for cash because the govt has cut their funding- housing shortage is just a convenient justification.
A house is exempt from council tax (Exemption code F)from the death of the sole occupier until probate is granted, then for an additional 6 months after probate is granted. If you take your time getting probate you can get substantially more than 6 months.
Probate can often take months to be granted and anyone who rents out or sells a deceased person's house without first obtaining it, housing shortage, blight on the landscape or any other b
ks, will be liable to get a legal reaming.
Once probate is granted, get it done up at your leisure (well, 6 months tops) and rent it out or flog it.
By the way if you empty the property of furniture you don't have to pay water rates either.
If you leave it empty you might want to buy special empty property insurance- it's usually about £120 per £100k value for 6 months.
A house is exempt from council tax (Exemption code F)from the death of the sole occupier until probate is granted, then for an additional 6 months after probate is granted. If you take your time getting probate you can get substantially more than 6 months.
Probate can often take months to be granted and anyone who rents out or sells a deceased person's house without first obtaining it, housing shortage, blight on the landscape or any other b
ks, will be liable to get a legal reaming.Once probate is granted, get it done up at your leisure (well, 6 months tops) and rent it out or flog it.
By the way if you empty the property of furniture you don't have to pay water rates either.
If you leave it empty you might want to buy special empty property insurance- it's usually about £120 per £100k value for 6 months.
konark said:
Probate can often take months to be granted and anyone who rents out or sells a deceased person's house without first obtaining it, housing shortage, blight on the landscape or any other bks, will be liable to get a legal reaming.
Big fat hairy bks, will be liable to get a legal reaming.ks. The executor is _perfectly_ entitled to sell or rent the house out before probate.Unless the estate is worth less than £5,000 executors cannot act before grant of probate. If you try to sell a house without probate the buyer's solicitor will refuse to deal with you as you have no authority. Even after probate it's advisable to wait 6 months before divvying up the estate or you could fall foul of the Inheritance (Provision for Family and Dependants) Act 1975 if long-lost or unknown relatives come out of the woodwork.
konark said:
By the way if you empty the property of furniture you don't have to pay water rates either.
Didnt know that fact, so thank you as I rang the relevant department today and was told I'd be receiving a cheque for £177 as a rebate since the house that was left to myself and siblings has been empty and on the market since last July,since my brother who was living there alone passed away, also of note today as it happens the council tax demand for 2015 fell on the doormat, grand total due £0.00So it does indeed seem to vary greatly where you live.
Gassing Station | Speed, Plod & the Law | Top of Page | What's New | My Stuff