What is a Council Tax Debt & Why it is Important to Repay?

council Tax

The Council Tax Debt holds the most priority as they are one of the most powerful personnel of the United Kingdom. Thus, you have to leave aside all the debts and give the main priority to the one which you have borrowed money from the Council. When the course of payments comes into the picture, you must be 18 years of age or more. 

Otherwise, the owner of the home/your residence will be liable for the payment. No matter what, you must ignore any type of letters, calls, texts, emails from the council. If you do so, the consequences will never be fruitful for you. 

The Council Tax: Your Expectations 

First, you must maintain a consistent payment to the Council. If any issue takes place, then you may start expecting something from the council regarding the tax. Let’s look at them as they are given below:

  • Visiting your home with the help of bailiffs.
  • Repossession of goods from your home.
  • Proceedings from the county court.
  • Force entry into your home.

Before any visit, you will be getting formal notice. That is why, for your own security purposes, you must not allow any kind of bailiffs to enter your home without a direct order from the court. 

Not paying the Council Tax Debt? Its Outcomes

The council tax deals with its arrears in a different way. In case, you miss any payment, the Council will send you a reminder by giving you 1 week of time. In the case of the repeated failure, the final notice will approach your door. If you still miss payments after the final notice, then they will take legal action with the help of the County Court. 

What do you mean by Income Deductions?

Income Deductions act as a nightmare for the people who have debts to the Council. On failing a payment and violating the final notice, they will deduct money from your incomes like salary, pensions, wages, extra added benefits, universal credit money and many more. Therefore, it’s better to pay the Council debt on time. 

Bailiffs: How they support the Council Tax Debt?

Amongst the people of the United Kingdom, the reputation of the bailiffs is not that good. They are popularly known for their harsh approach to the people who owe debt. On receiving the notice, you have to be prepared to face them. On the arrival, make sure you ask them to show their identity papers. Apart from that, keep a good watch on whether they are maintaining the correct time for the visit. 

If you have not made the payment for a longer period of time, with the help of the County Court’s order, they will take away some of the expensive items from your home. You will have no right to prevent them from taking away the goods. 

How long can the Council Chase you?

There is no fixed time regarding the chase. Unless and until you pay the full amount, the Council will keep on contacting and chasing you. If the Council takes the help of the court, then the court will give you a week’s time to make the complete or the desired instalment. Never think that your debt will be automatically eliminated. 

Reduction in the Council Tax is possible?

Depending upon your financial situation and lifestyle, the Council may grant a certain type of reductions. Eager to know what they are? Let’s check them:

Reduction on Disability 

If any disabled person is present in the house and you are having a debt to the Council, then the latter can give a certain amount of concession. The amount might increase a little bit if you are physically disabled.

Various Discounts

The Council will also grant you several types of discounts that have the ability to reduce the Tax. Some of them are here as follows:

  • In case, you are the only adult member in your home.
  • Sharing your home with other people who are not eligible for Tax payment.

On the other hand, some people might not cover the eligibility criteria to pay the Tax. They are like a full-time student, nurse in a hospital, a student undergoing any training for educational purposes and others. 

Discount on Adulthood

Being an adult and having a debt might be fruitful. Certain discounts are given by the Council if you are over the age of 18 years. On the other hand, your low income will also play a good role in slashing down the Council Tax. As the entire matter belongs to the local Council, the second adult rebate is a bit complicated. To know more, you can contact them. 

Reduction on Previous Debt

If you are having previous debts, then an amount will be deducted from the current debt by the Council. This is basically called the Discretionary Reduction or Concession. Apart from that, the discount will also apply if only you are an adult and not having much trouble in the financial condition. 

Council Tax Debt Liability Order: A Brief Overview

The liability order will come into effect when the magistrate’s court gets involved in the matter. The Court Order states that you still haven’t paid the Council debt entirely. After a short notice period, if you are still not paying, then the court fees will be added to the total amount of debt. Thus, this increases the amount. 

As per the expert suggestions, you must keep on paying the Council as much as you can. The involvement of the court will not lead you to any comfortable situation regarding the payment. In case you are having a hectic situation, talk to the representatives of the council and let them know about your financial situation. 

Required Information 

For the necessary working procedure, the Council might ask you for certain information. The details are given below: 

  • Your initial, middle and surname
  • All the information about the earnings
  • Your future expectations on earnings
  • Information related to all the received deductions
  • Identity-related information 
  • The ID of any additional person related to the debt

As per the request, you will be given 2 weeks time to deliver all the information mentioned above. Never provide any type of false information. If you do so, it might lead to some critical consequences.