Government considers revising Class C exeption for council tax


The government is mulling over plans to make landlords of rented homes pay council tax whilst they are empty, reports.

Under the Localism Act, the government is proposing to abolish the Class C exemption for council tax purposes. If passed, it would mean that local councils would be free to charge whatever they want for the first six months of a property becoming void.

Currently, landlords have a six month grace period from a property becoming empty before they need to start paying council tax. If the new law is passed, councils would then be free to determine themselves how much a landlord pays in that six months, ranging from nothing to 100 per cent of the council tax bill.

After the initial six month period, landlords would be liable to pay council tax, just as they now are.

The law, if passed, would put greater pressure on landlords to advertise property and find tenants quickly after the previous ones move out. It would also have a large impact on student landlords who often see their properties lie empty for four months of the summer.

The new measures do have certain caveats, however, as homes subject to probate or those which have become empty because the householder fell ill will not be subject to the changes, reports.

Author: Properties ABC