What is Council Tax in the UK?
Council Tax is similar to property management fees in other countries. It is collected by local councils from every household in the UK and is used to fund services such as waste collection, street lighting, public maintenance, and greenery in the area.
Council Tax is assessed per household and based on the region, the value of the property, and the energy efficiency level. Properties are categorized into 8 bands (A-H), with A properties having the lowest tax and H properties the highest. To find out how much Council Tax you need to pay, you can visit the government website and enter your postcode.
Website: https://www.gov.uk/council-tax
Who Needs to Pay Council Tax?
In the UK, anyone over the age of 18, whether a homeowner or a tenant, is usually responsible for paying Council Tax if they live in the property. The following outlines different situations:
Main Residence: The person living in the property, either a tenant or homeowner, is responsible for paying Council Tax.
Couples or Co-tenants: Couples living together are jointly responsible for paying Council Tax. You may receive either two separate bills or one joint bill, but the total amount will remain the same.
Single Occupancy: If you live alone, you can apply for a 25% discount on the total Council Tax amount.
House in Multiple Occupation (HMO): If the property is shared by three or more people from different households, typically the landlord is responsible for paying Council Tax, and it is often included in the rent.
Full-time Students: Full-time students are exempt from paying Council Tax. However, you must declare your student status to the local council to qualify for this exemption.
Empty Property: If no one lives in the property, the owner may still need to pay Council Tax. To avoid unnecessary payments, it’s best to advertise the property early to minimize vacancy periods.
Who is Eligible for Council Tax Discounts?
You may be eligible for a Council Tax discount if you meet any of the following conditions:
Under 18 years of age
On an approved apprenticeship scheme
Full-time students aged 18 or 19
Full-time college or university students
Aged under 25 and receiving support from the Education and Skills Funding Agency
Student nurses
Registered foreign language assistants with the British Council
Individuals diagnosed with severe mental impairments
Live-in carers who are not the spouse, partner, or parent of the person being cared for
Diplomats
How to Pay Council Tax
To pay Council Tax, Google Find your local council, enter your postcode in the search box, and you will be directed to your local council’s website. Once on the website, there will typically be a section for paying Council Tax. Follow the prompts and fill in the necessary information to complete the payment.
Important Tips About Council Tax
1. What happens if you don’t pay Council Tax?
If you fail to pay Council Tax, the local council will send you two reminder letters. You may also incur extra fees if a debt collection company becomes involved. Continued failure to pay can result in legal action and may affect your credit score, and in extreme cases, it could prevent you from renewing your visa.
2. Do full-time students need to apply for a Council Tax exemption?
Yes, you must apply. Even if you are a full-time student, you won’t automatically be exempt; you need to submit an application for the exemption to be granted.
3. How do students apply for a Council Tax exemption?
Prepare the necessary documentation: Visit your university’s Student Service Centre or Admissions Office to request a student letter (student proof). The letter must include the name and address of the university, the student’s name, the course being studied, the start and end dates of the course, and the student's UK residential address.
Then, visit your local council's website, search for Council Tax, upload your student proof, and complete the Council Tax Exemption Form. Note that you can only apply for an exemption during your rental period.
4. How do you know if your exemption has been successfully applied?
Once your application is submitted, you will receive a bill showing both the full Council Tax and the exempted amount. If the balance is £0, your application was successful!
By following this guide, you can ensure that you are paying or applying for the correct Council Tax exemptions in the UK!
