What is Council Tax Reduction Scheme?
- Adil Akhtar
- Dec 5, 2023
- 19 min read
Updated: Jun 24
Understanding Council Tax in the UK
Council Tax is a local taxation system in the United Kingdom, imposed on domestic properties. It's a vital source of income for local authorities, funding services such as education, waste collection, and police services. The amount of Council Tax you pay depends on the valuation band of your property, the local council's charges, and your personal circumstances.
What Is the Council Tax Reduction Scheme and Why It Matters
Why Did the Government Replace Council Tax Benefit?
Now, let’s start with the basics: the Council Tax Reduction (CTR) Scheme is a local discount designed to help UK households on low incomes pay their Council Tax bills. It’s been around since April 2013, when the government scrapped the national Council Tax Benefit scheme and handed the reins to local councils in England (Scotland, Wales, and Northern Ireland have their own versions). Under Section 13A of the Local Government Finance Act 1992, each billing authority in England must create a scheme to reduce Council Tax for people they deem in financial need.
The shift was meant to give councils more flexibility to tailor support to local needs, but it’s also led to a patchwork of schemes across the country. Back in 2020/21, around 4 million households claimed CTR in England alone, showing just how vital it is for cash-strapped families.
Who Runs the CTR Scheme in Your Area?
Here’s the deal: your local council runs the show. Unlike the old national benefit, which had uniform rules, CTR varies by council, meaning what you get in Bexley might differ from Wandsworth or Leeds. The Council Tax Reduction Schemes (Prescribed Requirements) (England) Regulations 2012 set some ground rules, especially for pensioners, but councils have wiggle room for working-age claimants.
For example, in 2025/26, about 21% of England’s 296 local authorities tweaked their schemes, with 18 increasing maximum support and 28 cutting it, according to a recent review by entitledto.co.uk. This local control means you need to check your council’s website (find it via GOV.UK) to see what’s on offer. Some councils, like Ipswich, offer up to 100% reductions for working-age claimants, while others, like Dudley, require everyone to pay at least 60% of their bill.
How Much Can You Save with CTR?
So, how much can CTR shave off your bill? It depends on your council, income, and circumstances, but reductions can range from 25% to 100%. Pensioners often get the best deal—government rules protect them, so they can receive up to 100% off if they’re on low incomes or benefits like Guarantee Pension Credit. Working-age claimants, though, face stricter local rules. For instance, Bexley’s scheme, updated on 5 March 2025, offers up to 75% off for working-age households, calculated via income bands.
If you’re on Universal Credit, many councils use income-banded schemes (40% of schemes in 2025/26), which simplify calculations but can miss nuances for those with variable incomes. A single person in a Band D property could save £1,500 annually with a 75% reduction, based on average 2025 Council Tax rates.
Key CTR Facts for 2025/26 | Details |
Maximum Reduction | Up to 100% (varies by council; pensioners often get full relief) |
Eligibility | Low income, benefits (e.g., Universal Credit, Pension Credit), or savings below £6,000 (working age) or £16,000 (pension age) |
Claimants (2020/21) | ~4 million in England |
Local Variations | 296 councils, 313 schemes (some run dual schemes for Universal Credit vs. legacy benefits) |
Recent Changes | 21% of councils adjusted schemes; 18 increased support, 28 reduced it |
Source |
What’s New for 2025/26?
Be careful! The CTR landscape is shifting. For 2025/26, councils are grappling with budget pressures, like rising National Insurance contributions and reduced central funding, as noted in Bexley’s scheme update. This has led to mixed changes: some councils, like Somerset, scaled back proposed cuts after public consultation, saving £3.9m instead of £12.1m by keeping 100% discounts for the neediest.
Others, like Hounslow, adjusted income bands, affecting working-age claimants from 1 April 2025. A big trend is the move to income-banded schemes—now 40% of all CTR schemes—especially for Universal Credit claimants, as legacy benefits phase out by March 2026. If you’re self-employed, watch out: from April 2025, councils like Salford may apply a “minimum income floor” (assuming you earn the national living wage for 35 hours a week), which could reduce your entitlement.
How to Qualify and Apply for Council Tax Reduction in 2025-26
Who Can Get Council Tax Reduction?
Now, let’s get to the nitty-gritty: who actually qualifies for Council Tax Reduction (CTR)? In short, it’s for people on low incomes or certain benefits who struggle to pay their Council Tax. The rules split into two groups: pension-age (state pension age, currently 66 in 2025) and working-age claimants. Pensioners have it easier—government rules under the Council Tax Reduction Schemes (Prescribed Requirements) (England) Regulations 2012 guarantee up to 100% reduction if you’re on Guarantee Pension Credit or have savings below £16,000. Working-age folks, however, face local council rules, which can be stricter.
For example, you typically qualify if you’re on benefits like Universal Credit, Jobseeker’s Allowance, or Income Support, or if your household income is low (often under £16,000–£20,000, depending on the council). Savings matter too—most councils cap working-age savings at £6,000. Special cases, like disabled people or carers, often get extra relief, as do single parents or those with dependent children. Check your council’s website (via www.gov.uk/find-local-council) to see exact income bands or criteria.
How Do You Apply for CTR?
So, you think you’re eligible—how do you get started? Applying for CTR is straightforward but varies by council, so don’t expect a one-size-fits-all process. Most councils, like Wandsworth or Leeds, offer online application forms, accessible through their websites or GOV.UK’s portal. You’ll need to provide proof of income (e.g., payslips, benefit letters), savings, and household details (e.g., who lives with you and their income). Some councils, like Ipswich, updated their process in 2025 to accept digital uploads via secure portals, speeding things up.
Others still require paper forms or in-person visits, especially for complex cases. For example, Merton’s council website (updated March 2025) advises calling their helpline for tailored advice if you’re self-employed. Applications are free, and you don’t need a middleman—beware of scam sites charging for “help.” Most councils aim to process claims within 4–6 weeks, but delays can happen if you don’t provide all documents upfront.
Step-by-Step Guide to Applying for CTR
Here’s a practical guide to nail your CTR application, whether you’re a renter, homeowner, or self-employed:
Check Eligibility: Visit your council’s website or use a benefits calculator (e.g., entitledto.co.uk or turn2us.org.uk) to estimate your entitlement. Input your income, benefits, and household details.
Gather Documents: Collect recent payslips, bank statements, benefit award letters, and proof of rent or mortgage. Self-employed? Have your latest tax return or profit/loss accounts ready.
Find the Application: Go to your council’s website via www.gov.uk/find-local-council. Look for “Council Tax Reduction” or “Council Tax Support” under the Council Tax section.
Complete the Form: Fill out the online or paper form accurately. Double-check details like National Insurance numbers and household income.
Submit and Follow Up: Upload or send your form and documents. Note the submission date and keep reference numbers. Contact the council if you don’t hear back within 6 weeks.
Report Changes: Inform your council immediately if your income, household, or benefits change to avoid overpayments or penalties.
For example, take Priya, a single mum in Bristol on Universal Credit. She applied for CTR in April 2025 via Bristol City Council’s online portal, uploading her UC statement and proof of rent. She qualified for an 80% reduction, saving £1,200 on her Band C property’s £1,500 bill.
Can You Backdate Your CTR Claim?
Now, here’s a question I bet you’re wondering: can you get CTR for past bills? Yes, but it’s tricky. Most councils allow backdating up to 6 months, but you must show “good cause” for the delay, like illness, bereavement, or not knowing about the scheme. For instance, Cornwall Council’s 2025/26 policy allows backdating to April 2025 if you apply by October 2025, provided you prove hardship. Pensioners often get automatic backdating if on Pension Credit, but working-age claimants need to request it explicitly. In a 2024 case in Salford, a carer named Ewan successfully backdated his CTR by submitting medical letters showing he’d been hospitalised, saving £800 on past bills. Always ask for backdating when applying—it’s not automatic, and councils won’t remind you.
How Can Business Owners Benefit from CTR?
If you’re a business owner, listen up: CTR isn’t just for employees or benefit claimants. Self-employed folks and small business owners can qualify, but it’s a bit of a maze. Your income is assessed after business expenses, but some councils (e.g., Salford, updated April 2025) apply a “minimum income floor” assuming you earn at least the National Living Wage (£12.21/hour in 2025) for 35 hours a week—about £22,200 annually. If your actual profits are lower, you could get less CTR. For example, Ayesha, a freelance graphic designer in Leeds, earned £15,000 in 2024/25 but was assessed at £22,200, reducing her CTR from 75% to 50%. To maximize your reduction, keep detailed records and submit recent accounts. Also, claim all eligible benefits—Universal Credit can boost your CTR entitlement. Some councils, like Bexley, offer discretionary reductions for self-employed people facing temporary hardship (e.g., a bad trading year), so always ask.
Details | |
Single Person, No Children | Income <£200/week: 75% reduction; £200–£300: 50%; >£300: 0% |
Couple, No Children | Income <£300/week: 75% reduction; £300–£400: 50%; >£400: 0% |
Family with 2 Children | Income <£450/week: 75% reduction; £450–£550: 50%; >£550: 0% |
Savings Limit | £6,000 (working age), £16,000 (pension age) |
Source | bexley.gov.uk, accessed June 2025 |
Tips to Maximize Your CTR
None of us want to miss out on savings, right? Here are some pro tips:
Claim All Benefits: Even if you’re working, check if you qualify for Universal Credit or other means-tested benefits to boost CTR eligibility.
Appeal Early: If your reduction seems low, appeal within 2 months—more on this in Part 3.
Check Local Schemes: Some councils, like Somerset, offer extra hardship funds for 2025/26, so ask about discretionary reductions.
Update Your Details: Report income drops (e.g., job loss) immediately to recalculate your CTR. For instance, in 2024, a Redditch couple increased their CTR from 30% to 70% after reporting a redundancy, saving £900 annually.
The Appeal Process for Denied Council Tax Reduction Applications
Understanding the Appeal Process
When applying for the Council Tax Reduction in the UK, it's possible that your application might be denied, or you may disagree with the council's decision regarding the reduction amount. In such cases, you have the right to appeal the decision. The appeal process is a critical step in ensuring that your eligibility and circumstances are fairly assessed.
Initial Steps After Receiving the Decision
Review the Decision Letter: Carefully read the decision letter from your local council. It should explain why your application was denied or why you received a lower reduction than expected.
Contact Your Local Council: Before formally appealing, contact your local council to discuss the decision. Sometimes, misunderstandings or missing information can be resolved at this stage.
Requesting a Reconsideration
Formal Request: If your initial discussion with the council doesn't resolve the issue, request a formal reconsideration. This must be done in writing, clearly stating your reasons for disputing the decision and providing any additional evidence that supports your case.
Timeframe: There's usually a specific timeframe within which you must request a reconsideration, often within one month of the decision.
Preparing for the Reconsideration
Gather Evidence: Compile any relevant financial statements, income details, and other documents that support your claim. This could include bank statements, pay slips, or letters from employers.
Write a Detailed Letter: Accompany your evidence with a detailed letter explaining why you believe the decision should be reconsidered. Be specific and clear, pointing out any areas you feel were overlooked or misunderstood.
The Reconsideration Process
Council's Review: The council will review your request and the additional information provided. They may contact you for further details.
Decision Timeline: The time it takes to receive a decision can vary. However, councils usually aim to respond within a specified period, often 2-4 weeks.
If the Reconsideration is Unsuccessful
Further Appeal Options: If you're still dissatisfied after the reconsideration, you can take your appeal to the Valuation Tribunal. This is an independent body that deals with Council Tax and valuation disputes.
Filing an Appeal with the Valuation Tribunal: Appeals must be filed within two months of the council's reconsideration decision. The tribunal's decision is based on whether the council applied the Council Tax Reduction rules correctly to your case.
Preparing for the Valuation Tribunal
Submitting Your Case: Provide the tribunal with a written submission of your case, including all the evidence you have. Detail the reasons for your appeal and how you believe the council’s decision was incorrect.
Understanding the Process: The tribunal process is less formal than a court proceeding but should be approached with seriousness. You have the option to represent yourself or have someone, like a legal advisor, represent you.
The Tribunal Hearing
Attending the Hearing: You'll be invited to a hearing where your case will be heard. This could be in person or via a telephone or video conference.
Presenting Your Case: You’ll have the opportunity to present your case, ask questions, and provide any additional information that might support your appeal.
Tribunal’s Decision: After hearing your case and the council's representation, the tribunal will make a decision. This decision is usually sent in writing a few weeks after the hearing.
After the Tribunal
Accepting the Decision: If the tribunal rules in your favor, the council will revise your Council Tax Reduction according to the tribunal's decision.
Further Actions: If the tribunal does not rule in your favor, you can seek legal advice on whether there are grounds for challenging the tribunal's decision, although this is rare and typically involves complex legal issues.
Navigating the appeal process for a denied Council Tax Reduction application can be daunting. However, understanding your rights and the steps involved in the process is crucial. From initial reconsideration requests to potentially presenting your case at a Valuation Tribunal, each stage offers an opportunity to ensure your situation is fairly assessed and adjudicated. Remember, the key to a successful appeal often lies in thorough preparation and clear presentation of your circumstances and evidence.
Overcoming CTR Challenges and Key Insights for 2025-26
What If Your CTR Application Is Rejected?
So, your Council Tax Reduction (CTR) application got turned down—frustrating, right? Don’t panic; you’ve got options. If your local council rejects your claim, they must send a written decision explaining why, usually within 6 weeks of applying. Common reasons include income above the council’s threshold, incomplete documentation, or non-dependant deductions pushing your entitlement to zero.
As explained above, you can appeal within 2 months of the decision, as outlined in the Local Government Finance Act 1992, Section 16. Start by requesting a review from your council—submit extra evidence, like updated payslips or proof of hardship (e.g., medical bills). If that fails, escalate to the Valuation Tribunal, an independent body. For example, in 2024, Tariq, a part-time worker in Manchester, appealed his rejection after his council miscalculated his Universal Credit income. He provided bank statements and won a 60% reduction, saving £1,100 on his Band D bill. Always act fast, as late appeals (beyond 2 months) are rarely accepted unless you’ve got a solid reason, like a hospital stay.
How Do Non-Dependants Affect Your CTR?
Now, here’s a curveball for many: non-dependants living with you can shrink your CTR. A non-dependant is someone over 18 (not your partner or dependent child) living in your home, like an adult child or relative. Councils assume they contribute to household costs, so they deduct a fixed amount from your CTR, typically £4.60–£15.95 per week in 2025/26, depending on their income. For instance, Birmingham City Council’s scheme deducts £15.95 for non-dependants earning over £503/week. If they’re on benefits like Universal Credit, deductions might be lower or zero. Take Fiona, a pensioner in Cardiff with her 25-year-old son living at home. His part-time job triggered a £9.20 weekly deduction, cutting her 100% CTR to 85%. To avoid surprises, declare all non-dependants when applying and ask your council about exemptions (e.g., for students or carers).
What If You’re Self-Employed or a Business Owner?
Running your own business? CTR can be a lifeline, but it’s not always smooth sailing. Self-employed claimants face unique hurdles, especially with councils applying the “minimum income floor” (MIF) for Universal Credit claimants, assuming you earn at least the National Living Wage (£12.21/hour in 2025) for 35 hours a week—about £22,200 annually. If your profits dip below this, your CTR could be lower than expected.
For example, in 2025, Leeds Council applied the MIF to Jamal, a self-employed electrician earning £18,000, assessing him at £22,200 and reducing his CTR from 70% to 40%. To counter this, submit detailed accounts showing actual profits, and ask about discretionary reductions for temporary low earnings. Some councils, like Wandsworth, offer hardship funds for self-employed applicants hit by economic dips (e.g., post-2024 supply chain issues). Also, check how CTR interacts with other benefits—Universal Credit can boost eligibility, but you must report self-employment income changes promptly to avoid overpayments.
How Does CTR Interact with Other Benefits?
Here’s something to wrap your head around: CTR doesn’t exist in a vacuum. It’s closely tied to benefits like Universal Credit, Housing Benefit (for legacy claimants), or Pension Credit. If you’re on Guarantee Pension Credit, you’re almost guaranteed 100% CTR, as councils follow national rules for pensioners. Universal Credit claimants, however, face income-banded schemes in 40% of councils (2025/26 data from entitledto.co.uk), where your CTR is based on your UC award minus deductions like the MIF.
For instance, a 2024 case in Hounslow saw Lena, a single mum on UC, lose 20% of her CTR because her work allowance wasn’t properly factored in. She appealed, corrected the council’s calculation, and saved £600 annually. If you’re on Housing Benefit, your CTR is often calculated alongside it, but this is phasing out by March 2026 as Universal Credit takes over. Always inform your council of benefit changes to keep your CTR accurate.
Can You Get Extra Help with CTR?
Now, consider this: what if your CTR isn’t enough? Some councils offer discretionary reductions under Section 13A(1)(c) of the Local Government Finance Act 1992 for exceptional hardship, like sudden job loss or medical costs. For example, Somerset Council’s 2025/26 hardship fund (expanded after public consultation) helped 1,200 households with one-off reductions averaging £300. To apply, contact your council’s benefits team with evidence of hardship (e.g., redundancy letters, medical bills). Rare scenarios, like immigration-related issues, can also qualify—non-UK nationals with “no recourse to public funds” may still get CTR if they’re liable for Council Tax, as confirmed by GOV.UK guidance (accessed June 2025). Always ask about these schemes, as councils don’t advertise them widely.
Common CTR Challenges and Solutions (2025/26) | Details |
Challenge: Application Rejected | Request a review within 2 months; escalate to Valuation Tribunal if needed. |
Challenge: Non-Dependant Deductions | Declare all non-dependants; check exemptions (e.g., students, carers). |
Challenge: Self-Employed Income Assessment | Submit detailed accounts; apply for discretionary reductions if profits are low. |
Challenge: Benefit Changes | Report changes (e.g., UC, job loss) immediately to avoid overpayments. |
Challenge: Hardship | Apply for discretionary reductions with evidence (e.g., medical bills). |
Source | gov.uk, local council websites, entitledto.co.uk |
Summary of Most Important Points
Council Tax Reduction (CTR) is a local discount scheme for low-income UK households, replacing Council Tax Benefit since 2013.
Eligibility depends on income, benefits, savings (under £6,000 for working age, £16,000 for pensioners), and household circumstances.
Pensioners can get up to 100% reduction, while working-age claimants face stricter, council-specific rules.
Reductions range from 25% to 100%, potentially saving £1,500 annually on a Band D property in 2025/26.
Apply via your council’s website with proof of income, benefits, and household details; processing takes 4–6 weeks.
Backdating is possible up to 6 months with “good cause” (e.g., illness, ignorance of the scheme).
Self-employed claimants may face a “minimum income floor” (£22,200/year in 2025), reducing CTR unless profits are proven lower.
Non-dependants (e.g., adult children) trigger deductions of £4.60–£15.95/week, depending on their income.
Appeal rejections within 2 months with extra evidence; escalate to the Valuation Tribunal if needed.
Discretionary reductions or hardship funds are available for exceptional cases, like medical costs or job loss.
How Can a Tax Accountant Help You With Council Tax Reduction Scheme
Understanding the Role of a Tax Accountant in Council Tax Matters
A tax accountant is a professional expert in handling various tax-related matters. When it comes to the Council Tax Reduction Scheme in the UK, their role can be invaluable in navigating the complexities of tax laws and regulations. They offer a range of services that can ease the burden of managing council tax obligations, especially for those who may be eligible for reductions or exemptions.
Assessing Eligibility and Maximizing Benefits
Eligibility Assessment: Tax accountants are well-versed in the eligibility criteria for the Council Tax Reduction Scheme. They can assess your financial situation, income, and household composition to determine if you qualify for the scheme. Their expertise ensures that all relevant factors, including less obvious ones, are considered.
Maximizing Reductions: By analyzing your financial circumstances, a tax accountant can advise on how to maximize your council tax reductions. This could involve restructuring your finances, changing how income is reported, or identifying applicable deductions and exemptions.
Navigating Complex Cases
Handling Complex Income Situations: For those with complex income streams, such as freelancers or business owners, a tax accountant can provide guidance on how income variations impact council tax reductions.
Dealing with Property-Related Issues: If you have multiple properties or have undergone changes in property value, a tax accountant can advise on how these factors affect your council tax and potential reductions.
Assistance with Documentation and Filing
Preparing Necessary Documentation: Applying for the Council Tax Reduction Scheme requires various financial documents. A tax accountant can help gather and prepare these documents, ensuring accuracy and completeness.
Filing Applications: They can assist in filing the reduction scheme application, ensuring that it is done correctly and in a timely manner.
Legal Expertise and Representation
Legal Knowledge: Tax accountants have up-to-date knowledge of tax laws and council tax regulations. This expertise is crucial in ensuring compliance and understanding the legal aspects of council tax reductions.
Representation in Disputes: In case of disputes or disagreements with the council regarding council tax, a tax accountant can provide representation and negotiate on your behalf.
Advice on Changing Circumstances
Adapting to Changes: A tax accountant can provide advice on how changes in your personal circumstances, like a change in income or household composition, affect your council tax reduction eligibility.
Future Planning: They can also offer strategic advice for future tax planning, considering potential changes in council tax policies or personal financial situations.
Educating and Empowering Taxpayers
Informative Guidance: Tax accountants can educate you about the intricacies of the Council Tax Reduction Scheme, empowering you to make informed decisions.
Regular Updates: They keep abreast of the latest changes in council tax regulations and can provide regular updates, ensuring you benefit from any new opportunities for reductions.
In summary, a tax accountant plays a crucial role in helping UK taxpayers navigate the Council Tax Reduction Scheme. From assessing eligibility to handling complex cases and offering legal expertise, their services are comprehensive. They not only ensure compliance and maximization of benefits but also provide educational and strategic support, making them an invaluable asset for anyone looking to manage their council tax obligations effectively.
FAQs about the Council Tax Reduction Scheme
Q1: What is the difference between Council Tax Reduction and Council Tax Exemption?
A1: Council Tax Reduction lowers the bill for low-income households based on income and circumstances, while Council Tax Exemption fully removes the liability, such as for empty properties or homes occupied by students.
Q2: Can someone on a temporary visa apply for Council Tax Reduction?
A2: Non-UK nationals can apply for Council Tax Reduction if they’re liable for Council Tax, even with restrictions like “no recourse to public funds, but eligibility depends on the council’s rules.
Q3: How does Council Tax Reduction affect tax credits?
A3: Council Tax Reduction is not counted as income when calculating tax credits, so it doesn’t impact the amount received.
Q4: Is Council Tax Reduction available for second homes?
A4: Council Tax Reduction typically applies only to council tax residents’ main home, not second homes or holiday properties, unless the council makes an exception for hardship.
Q5: Can students apply for Council Reduction?
A5: Full-time students are usually exempt from Council Tax, but part-time students or those living with non-students may qualify for Council Tax Reduction if their income is low.
Q6: Does receiving Council Tax Reduction affect credit scores?
A6: Receiving Council Tax Reduction does not directly impact credit scores, as it’s a benefit and not a debt or financial product.
Q7: Can Council Tax Reduction be applied to business properties?
A7: Council Tax Reduction applies to domestic properties, not business premises, which are subject to business rates relief schemes instead.
Q8: What happens to Council Tax Reduction if someone moves to a new council area?
A8: Council Tax Reduction doesn’t transfer between councils; a new application must be made with the new local authority, as schemes vary.
Q9: Is Council Tax Reduction available for people with disabilities?
A9: People with disabilities may qualify for Council Tax Reduction if their income is low, and some councils offer extra reductions for disabled residents or adapted properties.
Q10: Can Council Tax Reduction be claimed for a deceased person’s estate?
A10: Council Tax Reduction cannot be claimed for a deceased person’s estate, but executors may apply for exemptions or discounts on empty properties.
Q11: Does Council Tax Reduction cover water or sewage charges?
A11: Council Tax Reduction only reduces the Council Tax bill and does not cover separate water or sewage charges, which may have their own discounts.
Q12: Can someone apply for Council Tax Reduction if they’re behind on payments?
A12: Arrears don’t automatically disqualify someone from Council Tax Reduction, but councils may require a payment plan to manage outstanding debts.
Q13: Is Council Tax Reduction available for foster carers?
A13: Foster carers can apply for Council Tax Reduction if their income is low, and some councils disregard fostering allowances when assessing eligibility.
Q14: Can Council Tax Reduction be combined with other Council Tax discounts?
A14: Council Tax Reduction can often be combined with discounts like single-person or severe mental impairment reductions, depending on the council’s policy.
Q15: What happens to Council Tax Reduction during a council tax band appeal?
A15: Council Tax Reduction remains based on the current band during a band appeal, but adjustments may apply retroactively if the band changes.
Q16: Can armed forces personnel apply for Council Tax Reduction?
A16: Armed forces personnel can apply for Council Tax Reduction for their main residence if their income qualifies, though some may also get exemptions for service accommodations.
Q17: Does Council Tax Reduction apply to shared ownership properties?
A17: Residents of shared ownership properties can apply for Council Tax Reduction if they’re liable for Council Tax and meet income criteria.
Q18: Can Council Tax Reduction be claimed for temporary accommodations?
A18: Council Tax Reduction may be available for temporary accommodations if the resident is liable for Council Tax and has a low income, subject to council rules.
Q19: Is Council Tax Reduction affected by receiving a personal injury payment?
A19: Personal injury payments are usually disregarded as income or capital when calculating Council Tax Reduction, but large settlements may affect savings limits.
Q20: Can someone overpaying Council Tax due to an error claim Council Tax Reduction retroactively?
A20: If overpayment was due to an error, Council Tax Reduction can sometimes be backdated beyond the usual 6 months, provided the council accepts the claim and evidence of eligibility.
About The Author:
Adil Akhtar, ACMA, CGMA, CEO and Chief Accountant of Pro Tax Accountant, is an esteemed tax blog writer with over 10 years of expertise in navigating complex tax matters. For more than three years, his insightful blogs have empowered UK taxpayers with clear, actionable advice. Leading Advantax Accountants as well, Adil blends technical prowess with a passion for demystifying finance, cementing his reputation as a trusted authority in tax education.
Email: adilacma@icloud.com
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