Many properties are in the wrong council tax band, and have been since 1991, due to incorrect valuations.
How are council tax bills worked out?
The amount of council tax paid depends on property banding. This is defined by a letter from A to H which is based on the value of that the property had in 1991. Individual councils decide annually the charges payable for band B and D, with all of the other bands then calculated proportionally.
Get your banding decreased
If you are successful in getting your council tax banding reduced you could save hundreds each year. Additionally you would be due a repayment backdated to when you moved into the property; as far back as when the tax started in 1993. This could be worth thousands.
The easiest way to check
The easiest way to establish if you are being overcharged on your council tax is to check if your band is higher than neighbours in similar or identical properties. The council tax band of every house in England, Wales & Scotland can be accessed via the following websites.
- In England and Wales use the Valuation Office Agency (VOA)
- In Scotland use the Scottish Assessors Association (SAA)
So first check your band, and then your neighbours. Do ensure the properties are as close to identical as possible though. Unfortunately, the enormous scale of the database some properties are missed off it. If this proves to be the case with your property, either speak to your neighbours directly or contact the council.
If neighbours in similar properties are in a lower band than you, then you probably have a valid claim.
A word or warning
Requesting a reassessment of your banding may actually result in it being increased, although this is relatively rare. If there are other properties similar to yours close by their bandings should give you a good feel for where you stand.
Who to contact?
If you believe that your property band is unfair, call or write to:
- In England and Wales; your Local Listing Officer
- In Scotland; your Local Assessor
You will be informed how your band was allocated, and have the opportunity to present a case for rebanding. Alternatively, you can appeal online via the VOA or SAA.
Reap the rewards
If you are successful in getting your band lowered you will receive a backdated rebate from the moment you moved into the property. You may wish to consider contacting previous occupants as they should be entitled to a rebate too, unless they left the property before 1993.
Council tax discounts
- Full time students do not have to pay council tax.
- If you live alone, or are the only adult (disregarding anyone in full time education), you are eligible for the single person’s discount of 25%.
With this in mind, inform the council as soon as possible if your circumstances change through a housemate/lodger leaving, becoming a student, separation, divorce, or the death of a partner/spouse.
- If your household income is less than £16,000 (or £9,600 if you do not have children) you may be able to receive council tax benefit.
For unoccupied and unfurnished properties which need or are undergoing renovation to make them habitable, you can claim a council tax exemption for the first 12 months. After this period, you may be entitled to up to a 50% discount off the normal rate – with some councils.
- If your property is unoccupied and unfurnished but not being renovated, the council may grant an exemption for up to six months.
- You are liable for council tax on a second home. You could, however, be entitled to a discount of between 10-50% at the discretion of the council.
- Council tax reductions are available for disability, for example, if for accessibility purposes you have to live in a large property.