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Council tax exemption

In England and Wales certain dwellings are exempt from council tax. This means that no council tax is payable on a dwelling on any day if it falls into an exempt category.

Unoccupied and unfurnished dwellings

In certain cases exemptions apply where a dwelling is vacant or unoccupied. Vacant means a dwelling that is both unoccupied and substantially unfurnished. Unfortunately, the legislation does not provide a definition for "substantially unfurnished" and therefore the words have to be taken in their literal meaning. Most authorities regard a dwelling as "substantially unfurnished" if there are insufficient furnishings that would allow for someone to live in the dwelling.

People may leave items such as carpets and curtains and maybe an old sofa in the property to make it look habitable and therefore discourage vandals. A visit will need to be arranged by your enquiry officer as a matter of urgency to clarify details.

The legislation defines an unoccupied dwelling as one in which no one lives.

This exemption can only be granted for a maximum period of 6 months.

Obtaining an exemption

Where an authority has not awarded an exemption the owner or resident may make contact setting out the reasons why the dwelling should be exempt. If it is accepted that an exemption should have been granted then backdating is allowed to the beginning of Council Tax or the date the conditions for the exemption were first met, whichever is the later of the two.

Unlike the provisions for backdating most social security benefits there is no requirement for anyone to show "good cause".

Notification of an exemption

Where the authority has assumed or agreed that a dwelling is exempt it must write to the person who is liable informing him/her of this fact.

This notification should be done as soon as possible. Included in the notification should be a statement that:

  • Shows the valuation band of the property
  • Shows how to make proposals for altering the valuation list
  • Specifies the amount which would have been payable
  • Summarises the classes of dwelling which are exempt.

Where there is more than one potentially liable person the authority only has to notify one of them.

Appeal against a refusal to grant an exemption

If the authority decides that the dwelling is not exempt an appeal can be made by an aggrieved person writing to the authority. There is no time limit on making such an appeal. The appeal letter should give reasons why the dwelling should be exempt and the authority has two months in which to respond.

If an exemption is not granted or the authority fails to respond then a further appeal can be made. This is done by writing directly to the valuation tribunal and should normally be within two months of being notified of an authority's decision, or four months should the authority not respond. This time period may be extended if the aggrieved person cannot meet the appropriate time limit for reasons beyond their control. Please note that payment cannot be withheld pending an appeal.

Please contact the Revenues section if you require any further information - contact details are on the top right hand side of your screen.