Council Tax and You
Have you just been hit by a hefty council tax bill? Did you know that as a carer, you may be entitled to a discount? If you’ve been overpaying for a while, you may also be entitled to a backdated refund.
The People you live with
Council tax is calculated according to the value of a property, not on how many people live in it. However, a reduction can be applied if only one person lives in the property or if it is empty, because the owner lives elsewhere. Some people are ‘disregarded’ and so are not included when considering how many people are resident in a property. After taking account of disregarded individuals, if only one person is resident, a 25% reduction is applied to the bill. If all residents are within disregarded categories, a 50% reduction is applied.
As a carer you can be disregarded yourself if:
- you provide care for at least 35 hours a week and live in the same property as the person you are caring for
- you are not their spouse or partner, or their parent if you they are under 18
- the person you care for is receiving the highest rate of the care component of Disability Living Allowance or the higher rate of attendance allowance or constant attendance allowance
If there is more than one of you in the household who fits these conditions you will both be disregarded.
Other reductions available
If space within your property is used to help meet the needs of the person you care for, you may be entitled to a reduction in your bill. This is called the Disability reduction scheme. You may be eligible if the person you care for is regarded as 'substantially and permanently disabled' and:
- there is an additional bathroom or kitchen in the property which is needed by the disabled person or
- there is a room (other than a bathroom, kitchen or toilet) needed by and mainly used by the disabled person or
- there is enough space in the property for the disabled person to use a wheelchair indoors
You should also make sure that any council tax calculation has taken into account your income and savings, if either or both of these are low. If you are on a low income, whether from benefits or work and have savings below £16,000, you may be eligible for Council Tax Benefit. In addition, if you are claiming (or are entitled to) Carers Allowance, you may also be entitled to a ‘carer premium’ to be added to your Council Tax Benefit.
If you think that you may be eligible for a discount on your bill, or to Council Tax Benefit, you should contact your local authority.
It may be possible to backdate an award, but only if you can provide evidence that you were eligible for the period in question. You do not have to give a reason for not having applied earlier.
Of course, it’s important to make sure you tell the local authority about any changes to your circumstances that might reduce the discount you are entitled to, or you may be liable for a penalty payment.
