Dealing with outstanding council tax on rented property

[Robinhood2013]

Advice needed please.

I have just returned to the UK after being away for approx seven years. I own a property which was rented out on and off while I was away. I Contacted the council to register my self for council tax and was informed that my property has some outstanding council tax which as owner I must pay.

The amount is quite high around £3,000.00 The person I contacted at the council also told me that they are in the process of giving the file to their Solicitors and that they have obtained liability orders. They also asked me if I could setup some sort of payment plan to clear the outstanding tax.

I don't wish to deal with Solicitors or Bailiffs and don't have money to pay the amount in full. How should I address this matter with the council to avoid extra charges by solicitors and bailiffs. Do you think the council will agree to me paying say £100.00 per month to clear the outstanding amount.

[bluebottle]

Re: Dealing with outstanding council tax on rented property

Hi and welcome to Legal Beagles.

Whilst you were overseas, who was responsible for collecting rent and ensuring Council Tax was paid on the property? If it was a letting agent or property management agency, I would go after them, especially if the contract between you and them included ensuring the collection and payment of Council Tax.

[Robinhood2013]

Re: Dealing with outstanding council tax on rented property

Thanks for your adice.

Well it was a relative on my wife's side of the family who stole rent and the tenants deposit. I have informed the council that she had full control of my property and also gave them details of the last known address we have for her. However the council are still chasing me for payment.

[wales01man]

Re: Dealing with outstanding council tax on rented property

Were the Police involved after the theft was discovered?

[bluebottle]

Re: Dealing with outstanding council tax on rented property

Thanks for your adice.

Well it was a relative on my wife's side of the family who stole rent and the tenants deposit. I have informed the council that she had full control of my property and also gave them details of the last known address we have for her. However the council are still chasing me for payment.

Whose name was on the Council Tax Bill? If it was your name, then I am afraid you are the Liable Person for the purposes of the Council Tax (Administration and Enforcement) Regulations 1992 and, ultimately, responsible for the debt, even though a relative had delegated responsibility for payment and clearly did not make the necessary payments.

I agree with Wales that the matter of the theft of rent and Council Tax payments from tenants should be reported to the police.

[Robinhood2013]

Re: Dealing with outstanding council tax on rented property

I did make a police complaint but nothing came of it.

[Robinhood2013]

Re: Dealing with outstanding council tax on rented property

I did make report to the police but nothing came of it

[wales01man]

Re: Dealing with outstanding council tax on rented property

Think you are liable for the CT You need to set up a payment plan with the council to avoid the bailiffs

[bluebottle]

Re: Dealing with outstanding council tax on rented property

Make a complaint to the Chief Constable for the area if his or her officers appear to be paying more attention to their navels than the crime rate.

[Robinhood2013]

Re: Dealing with outstanding council tax on rented property

Ok will do that and see what happens

[Robinhood2013]

Re: Dealing with outstanding council tax on rented property

I will ask the council to combined all the arrears in one bill and then I will make them a monthly installment payment plan offer. I don't have much income at this moment and can not afford to pay much per month. What happens if they refuse my offer based on my low income after subtracting my basic living expenses ?

[ploddertom]

Re: Dealing with outstanding council tax on rented property

Considering the size of the arrears and the fact you can only offer low repayments do not surprised if the Council threaten a Charging Option or indeed Bankruptcy. The costs of doing any of these will be added to what you owe and for BR the costs are substantial.

[Inca]

Re: Dealing with outstanding council tax on rented property

Did noone check that the essential bills were being paid by the relative?
In hindsight (which is a wonderful thing but useless in cases such as yours) the internet is a wonderful thing and you could have collected the rent etc yourself.

You should check if there is someone at the Council with whom you can have a face to face meeting with because you are responsible for this debt and they can indeed do as Ploddertom says.
Have you asked for a breakdown of the bills?
3k over 7 years would indicate at least some CT was paid at some point? (happy to be corrected on that)

Is there any way of you raising at least some of the money?

Are you claiming any benefits now?

[atendoftether]

Re: Dealing with outstanding council tax on rented property

Sadly as the owner of the property you are liable for unpaid council tax it was your duty via your representative to ensure that it was paid by your tenants, You can ask for instalments but they are only discretionary, especially for a debt incurred in the past they would be unlikely to take current financial circumstances into consideration and are not generally interested in outgoings. You could however try to take the person charged with managing the properties to a small claims Court ( I know it may be awkward if they are family) but that option is relatively inexpensive. Avoid letting the Council to take you to Court at all costs, as it will cost you the earth and could have long term consequences.