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Original poster

10k backdated unpaid council tax, what do I do?

275 replies

CTfuckup · 15/06/2021 13:27

Been living in staff accom for over 7 years, was never informed I had to pay council tax, moved in at 19, believed it fell under the business address as I didn't have a postal address of my own I.e post doesn't come to my house, private bin collection not council. My rent has come straight out my salary. I've saved hard and I've just bought my first house, contacted council to arrange to pay council tax for house and it's all come about that I owe them £10k. I don't have it, I've just spent every penny of my savings on a house deposit, my monthly outgoings are about to sky rocket as staff accom was cheap and all inclusive and I'm now paying mortgage, CT, bills etc for the first time. What do I do? I have a toddler who is in very expensive nursery. I work all the hours I can. I've cried all day.

OP posts:
Imcrazyapparently · 15/06/2021 14:28

Were you registered to vote there? If so then the council should have noticed that you were living at the address.

I'm not sure they'll accept ignorance as a defense though. Plus it's not just bin collection council tax goes towards, its policing and social care etc.

Hope you get it sorted op.

Daffodil21 · 15/06/2021 14:28

Do you have legal advice through your house insurance? Some policies include it (mine did!). Definitely worth contacting them if so

Bimblybomeyelash · 15/06/2021 14:29

Was the accommodation a perk or was it necessary for You to live on site in order to carry out your job? I believe that if it is the latter than there may be CT reduction or possibly exemption.

ilovemydogandmrobama2 · 15/06/2021 14:29

So the bill was for the address and not in your name?

Presumably when the credit check was done, it found bills for the address and not your name. Hmm

Look at your contact and see what the agreement is at first instance ut agree that it may not be your bill so get advice before you decide what to do.

MustardRose · 15/06/2021 14:30

Ten grand in seven and a half years is about what we pay for a three-bedroomed house.

What size was your part of the property?

Original poster
CTfuckup · 15/06/2021 14:31

Thanks will take all advice on board.

Yes I'm registered to vote there, registered there with HMRC, my DMP was addressed there, I've made no secret to legal bodies that I live there. My rent is deducted from my pay and I knew they paid my bills so I never thought anything of it. I didn't ring the council to say I moved in there like I did with my house, I think that's the argument that I never informed them but I didn't know I needed to

OP posts:
Ostara212 · 15/06/2021 14:31

OP talk to citizens advice

They can help make a payment plan for you at reasonable rate.

Babyroobs · 15/06/2021 14:32

I can't believe they haven't contacted you about this before or taken you to court. Are you sure you actually owe it? I would speak to CAB.

Whitchurch · 15/06/2021 14:33

Just speak to Shelter or Citizen's Advice. Reading some of the speculation on here is going to do nothing for your nerves. This could be more straightforward than you think. Worst comes to it I think it would come down to "affordable payments". But don't take any notice of us, speak to the experts, and good luck.

FindingMeno · 15/06/2021 14:33

Do you have anything in writing from your employer on your living arrangements?

BirthdayCakeBelly · 15/06/2021 14:34

Business properties are covered by business rates (sometimes referred to as non-domestic rates) and domestic properties by Council Tax

Some properties are partly for business and partly for domestic use, so you may have to pay both taxes, eg a pub or public house, or a shop where the publican or shop owner lives on the premises or in a flat above the business

This is the English guidance. Can you not refer them to the employer who owned the property and paid the business rates?

I agree with those saying don’t accept responsibility until you have spoken to someone like CAB or a solicitor.

copperpotsalot · 15/06/2021 14:37

I don't understand how you've saved for a house with a DMP?

But that aside, what a horrible shock for you. Take it all the way, they should have written to you surely?!

At the very least they'll have to offer you a payment plan.

AlwaysLatte · 15/06/2021 14:38

That's shocking. Either the council never asked anyone for the tax for all that time or someone has been sitting on those letters during those 7 years and beyond. You need to find out from the council where they were sending the letters. If it's a big national company I'd get legal advice and see what their obligations were/are with the hope of getting them to pay it.

MadeForThis · 15/06/2021 14:39

Take another look at your employment contract and see what it specifies as bills.

Sally2791 · 15/06/2021 14:40

Definitely take legal advice before agreeing to pay anything. Surely the business had responsibility to make sure you received bills. If you were liable I suspect you would have been tracked down long before now.

Original poster
CTfuckup · 15/06/2021 14:41

My DMP stayed on my credit rating for 6 years after the date of the last payment. When I made my last payment 6 years ago I started saving for my deposit and when it was finally wiped I applied for a mortgage.

I still work for the business I've just moved off site so I'm scared of handling this in a way that sours that but I'm so gutted at the thought of being back in debt now I'm finally back in the clear financially. I will contact the places recommended thank you

OP posts:
Flowers500 · 15/06/2021 14:44

Legal advice all the way, I doo oh my think you’re responsible here, it sounds like your employer might be? Depending on how they stated the bills situation.

TheWatersofMarch · 15/06/2021 14:45

If Council Tax is payable on the address by the occupier why weren't they sending bills? Please don't worry. The Council would rather see you solvent and able to pay towards the debt (if you're liable). You do need advice though, as it it is soley or partly their fault you need someone to advocate for you. I second CAB

SpaceRaiders · 15/06/2021 14:47

Whatever you do do not admit liability. Like others have said get some legal advice before making further contact with the council. If you were liable for CT they should have sent you a bill surely! I’d fight it tbh.

FindingMeno · 15/06/2021 14:47

Ah, I do understand that you need to tread cautiously if you are still an employee.
Still get advice.
Please don't let this get out of proportion and cause more upset. There is a solution, and even if you do end up paying it back in installments you will manage to do that, because look at where you have got through determination.
Good luck Flowers

21Flora · 15/06/2021 14:47

I’d read your employment contract. Did it specify they paid all bills? I’ve worked in jobs where all my bills and accommodation was provided at it specified exactly what I was liable for in both my employment contract and my licence to occupy. If it just says they cover all bills forward to them.

ineedaholidaynow · 15/06/2021 14:50

Did you have a rental agreement?

I am surprised the bailiffs haven't been round.

ThatOtherPoster · 15/06/2021 14:51

What did your housing contract say? I don’t think this sounds like your fault.

Unsubscribed · 15/06/2021 14:52

I wouldn't be so quick as to admit liability and set up a payment plan. Something is not right here. Agree with poster who advised do not discuss further with council until you have taken legal advice.

IWantAllTheDogsInTheWorld · 15/06/2021 14:59

Something doesn't add up here.

Are they saying that for 7 years there has been a void period where no council tax has been paid at all? If so, why has a council tax inspector not been able to discover someone living there or had the accommodation been covered by business rates and has therefore been paid within the business rates bill and the Clerk moving you "out" has made an error.

If they are saying there HASN'T been a void period and it wasn't covered by business rates and the property didn't flag up for inspection then that means either CT bills must been paid by the the business you work for when they had no liability (and therefore that money will now be refunded back to your employer) and the Council will now charge you, or that the property has produced no council tax income for the council which would take us back to the first point, why was this not flagged for inspection?

I don't understand how a previous CT paying property stopped bringing income which would have flagged up on a computer report, seemingly not even flagged as a long term "empty" property, as even empty property as a CT liability (for Council Tax inspectors to check) and no one from the Council sent debt collectors etc to force payment and/or the occupier to court if bills were being sent but not paid.

I certainly would be asking a lot more questions.