To think council can't ask for this money back?

[FromCuddleLand]

I'm really not sure where we stand here. The council, after speaking with me and my parent, decided that said parent was eligible for 50% discount on council tax.
We all live in one large property, the basement of which is a self contained garden flat. We (me, DH and parent) bought the property two years ago and have a deed of trust setting out how much of a proportion of the value of the entire building we respectively own.
There is one water, gas and electricity supply, however two postal addresses, two council tax bills and separate TV licences etc. This week, my parent has been contacted by the council stating they have reviewed the council tax discount, have decided it doesn't apply and would like my parent to pay back the difference. Can they do this? We gave them all the information at the outset, have not withheld any or been dishonest. Poor parent is beside themselves. Anyone got any advice on how to proceed?

If there are 2 council tax bills, write back and ask if they will be returning the entirety of your bill for the amount the want your parent to backdate. If you all count as one house, and your parent is no longer classed as a line adult, then surely the council tax bill you and your DH are paying must be null and void?

It might be worth posting on legal, as council tax isn't like a lot of other bills - it has a special status and legislation.

I can't see how, if your parent has their own council tax bill, they wouldn't be entitled to the discount. And if they made a decision, it seems like they should stick to it, even if they want to change it going forwards. But I don't know enough about council tax to know if they are right.

Has a 25% single person discount remained?

Are they on their own? Normally that would only be a 25% discount.

This would be one where your local councillor should be able to help.

Is it the single occupancy discount they are saying the parent does not now qualify for? Did they also get council tax support due to low income?

Have they given the wrong type of discount?
If they are treating it as 2 residences and your parent as a sole occupier of 1 of the residences, then it would be a 25% single occupant discount not 50%.

Which makes me wonder if they've given an empty home or similar discount.

Either the house is all one property in which case there's just one Council Tax bill for the 3 of you and you can split it between you to give your parent a discount of your choice, or it's two properties in which case the parent lives alone and is entitled to the discount - but the discount is normally only 25%. Where did the 50% figure come from?

The 50% discount is from some legislation from 2013 which entitles people with an annexe in which a family member lives to have a discount on the ct for the annexe. Its very confusing to figure out how it is applied so when the council said we were eligible we took them at their word. They have said parent can have 25% discount but must now pay back the difference. It is surely their mistake though. How can they expect a retired person on a small pension to suddenly conjure a grand or so out of thin air?

The annex discount is for when a family member lives in the annex and you are all part of the family, so the parents should get 25% off the council tax for the annex, then 50% off that.

Depending on your area, I would find the criteria on the council web page, then ask them to explain how you no longer meet the criteria when you quite clearly DO meet the criteria.

So they're asking for 25% back? If it does need paying back. Ask for installments split across the rest of this year and next year.

Email your MP, they can sort

The council website states:
Properties that get a discount
Annexes occupied as part of the main home or by a relative
An annexe (or similar self contained part of a home) which is occupied as part of the main home or is the main home of a relative of the council taxpayer of the main home can qualify for 50% discount. Relative is defined within the regulations as:
Spouse, parent, child, grandparent, grandchild, brother, sister, uncle, aunt, nephew or niece (including older generations of each eg great grandparent)
Additionally please note:
This includes relatives by marriage or civil partnership
Two people living together as if they were married or in a civil partnership will be treated as though the couple were married or in a civil partnership and
The stepchild of a person shall be treated as his/her child.

Ask them to set out why it no longer applies, raise a complaint, escalate to next steps which (I think) is public services ombudsman. At a minimum you’ll get a clear answer.

but yes, even if it’s their error of course they can ask it to be paid if it doesn’t apply. Council tax is the same as a mobile phone provider. Doesn’t need to be conjured out of thin air can be paid in instalments.

Reading your OP again, it sounds as if they are now of the view that the basement flat is a separate property rather than an annexe. As there is a shared utility supply, this is possibly incorrect, although as it is shared ownership, it may be more complicated

It is quite old now but there is an article here which explains the general principle and some of the reasons it may not apply.

This is definitely a councillor job. They will be able to go direct to the appropriate council officer and discuss with them.

If it does turn out the discount was given in error though, sadly they can reclaim.

The wording n their website states 'or similar self-contained part of a building' . Its so confusing.

Ring them. They are generally quite helpful.

But to answer the question, if it turns out that the basement flat does not qualify for the discount then yes you have to pay the difference back.