Council Tax - what happens if I do not pay
How we provide this service
Council Tax bills can normally be paid by 10 monthly instalments. Bills issued later in the year offer a smaller number of instalments. This service is supported by Finance, Benefits and Revenues.
If you are having difficulty paying your Council Tax the following advice and guidance may help you.
What should you do if you are in arrears or have received a reminder notice?
Contact us immediately and we will do our best to help you. We can sometimes reduce the amount you have to pay. For example, you may qualify for a discount or exemption.
If you're on a low income, or you live with another adult (not your partner) who is on a low income, you may be able to claim Council Tax Benefit or Second Adult Rebate. To see if you may qualify for a reduction you can try our online calculator. You can also contact Customer Services for help and advice. Don't delay applying - the sooner you apply the sooner any entitlement can be awarded.
What happens if you don't pay an instalment?
We send a reminder notice, this gives you 10 days to bring your payments up to date. However, the law only allows a maximum of 2 reminders to be issued in any financial year.
What happens if you still don't pay?
You will no longer be able to pay monthly and court proceedings will start if you ignore the notice.
Court Proceedings
If you receive a Court summons you will have to pay costs of £60 rising to £65 when it goes to Court. If you cannot pay in full before the court hearing contact us to discuss an alternative. In most cases we are able to reach an agreement - but we will still have to obtain the court order. If you think the debt is wrong let us know straight away - do not wait until the court hearing.
What happens at the court hearing?
We will ask the Court to issue an order against you (called a Liability Order). The court will NOT consider offers of payment - you have to discuss those with us. The Court will issue an order if it is satisfied that we have sent you all the notices the law requires and that the debt (or part of it) is still outstanding.
Further Information on this service
What happens if the Council have a Liability Order and you still don't pay?
We have a legal duty to enforce the order and have a range of options we can use. If you contact us we may agree payment terms and further action can be avoided. However, we cannot agree terms with you if there is a more efficient alternative available, for example to issue an Attachment of Earnings Order (AoE) to your employer.
What other methods can be used to recover the debt?
- An AoE order can be sent to your employer. Regular amounts are deducted from your pay until your debt has been paid in full. Your employer can charge you £1.00 for every deduction - [the scale of deductions can be seen here]. Failure to provide us with your employment details, could lead to you being fined up to £1000.
- We can ask the Benefit Agency to make deductions from certain state benefits. These are - Income Support and Job Seekers Allowance (both income based), Pension Credit, Assessed Income Figure and Pension Credit Guaranteed Credit, and Employment and Support Allowance.
- We can instruct our bailiffs to collect the debt. The bailiffs will charge you costs [view a list of these charges here] and are instructed by us to collect the debt as quickly as possible. They will not usually agree payment arrangements. The law expects bailiffs to obtain full payment OR seize goods and possessions owned by the debtor. These goods are then sold and the money raised goes towards paying your debt, plus costs. The Council currently use a private bailiff firm and their name and contact details are:
- Rossendales, Wavell House,Helmshore Rossendale, Lancs. BB4 4NB - Telephone number: 0844701 3980
rossendales.com
- Jacobs - 4 Europa Boulevard,Birkenhead,Merseyside,CH41 4PE Tel 0845 6012692
- the Council can ask for a charge to be placed on your property. This also includes costs and on-going interest and, ultimately, your property could be sold.
- If you owe the Council more than £750.00 we can apply for you to be made bankrupt. This could mean your assets, including your home, being sold to pay your debts and all the costs of this action.
Can I be sent to prison for not paying?
Yes. As well as risking being sent to prison for 90 days you would also have all the court costs to pay. Remember also that, even if you go to prison, the debt still has to be paid.
Getting help and advice generally.
If you receive a letter warning you about action we have or are intent on taking you should contact us immediately. In most cases we can reach an agreement. Our staff are trained to make sure you receive the best possible advice and any reductions you may be entitled to. You can also contact the Citizens Advice Bureau.
Whatever you do - you must not ignore the debt - it will not go away!
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Contact Details
If you have any queries about the information provided above, or require further information, please contact Customer Services on 01775 761161 or email info@sholland.gov.uk.
