Council Tax break: What months do you get a Council Tax break? | Personal Finance | Finance

Council Tax is a bit of your wages that you simply actually don’t need to pay, however should. It’s used to pay for issues like garbage assortment, highway upkeep, and avenue lighting. For the many individuals discovering themselves cash-strapped by the pandemic, a Council Tax break can be warmly welcomed. spoke to Ms Pat Lewis, tax division supervisor at Intellect Tax – monetary specialists, specialising in tax and advantages to seek out out when you may get a Council Tax break.

What is Council Tax?

Council Tax is collected by native councils and is used to pay for providers in communities.

Every property is positioned in a Council Tax band from A to H, primarily based on dimension, location, and some different elements. Check your band right here.

Some properties and teams, like full-time college students, are exempt from council tax.

It is used to keep up native providers, help the aged and susceptible, take care of parks and streets, and so forth.

Council Tax pays for 1 / 4 of native authorities spending.

READ MORE- Martin Lewis shares how to cut council tax bills by thousands – how?

Has Council Tax risen this 12 months?

From April 1, 2020, households throughout the nation began paying round 15 % extra on their Council Tax payments.

The common Band D council tax in England for this monetary 12 months, for instance, can be £1,817 this 12 months as a substitute of £1,750.

This means in England, houses have seen roughly a 3.9 % enhance, whereas houses in Wales have seen an enormous 15.Four % enhance.

Homes in Scotland are paying a mean of 4.1 % additional.

She mentioned: “The COVID-19 Hardship Fund was introduced by the federal government on March 24, 2020.

“It allotted £500 million of recent grant funding to help economically susceptible individuals and households in council tax areas, ie these households already in receipt of LCTS.

“The fund was allotted to council areas primarily based on their share of LCTS recipients in comparison with the remainder of the nation in quarter three of the 2019/20 tax tear.

“For instance, if a council space had one % of LTCS recipients in quarter three 2019/20, they obtain one % of the Hardship Fund.”

Ms Lewis added: “Using LCTS, every council can determine their very own strategy to discretionary council tax reductions or hardship schemes.

“Any unused allocation of the Hardship Fund can then be used on the discretion of native authorities to assist the susceptible of their areas.

“The authorities steering suggests the fund could possibly be used to offer further aid to LCTS recipients, however it may be utilized in broader methods by way of different schemes.

“The Hardship Fund funds can’t be utilized for however can be distributed by councils issuing revised Council Tax payments to the related individuals of their areas.”

If you can not pay your Council Tax invoice, let your native council know as quickly as you possibly can. Head to their web site and both give the related division a hoop or drop them an electronic mail.

It’s at all times higher to go to them earlier than you miss a fee relatively than after you have missed it.

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