The cost of council tax is set by your council and goes towards funding local services – but you may not have to pay at all.
Several groups of people could be eligible for a 100 per cent discount on their council tax bill. According to Government regulations, certain residents are exempt from the total cost, while others may receive a partial discount.
Council tax is an annual fee paid to your local council. The amount is determined by your council and contributes to the funding of local services.
Your council tax bill will depend on both where you live and the value of your property. Generally, if you’re 18 or over, you’re required to pay council tax.
Full council tax is based on at least two adults residing in a home. Couples living together are jointly responsible for settling the bill.
However, not everyone is obligated to contribute towards council tax. For instance, some households may qualify for a council tax reduction, which could result in a discount of up to 100 per cent.
Others may also receive a 100 per cent reduction if they are classified as severely mentally impaired and meet other criteria. Additionally, households where every member is a full-time student are not required to pay at all.
Students
GOV.UK clarifies that households where everyone is a full-time student are exempt from paying council tax. If you receive a bill, you can apply for an exemption.
To be considered a full-time student, your course must:
- Last at least one year
- Involve at least 21 hours of study per week
If you’re studying for a qualification up to A-level and you’re under 20, your course must last at least three months and involve a minimum of 12 hours study per week. However, it’s crucial to note that if there’s someone in your household who’s not a full-time student, you’ll receive a council tax bill, but your household might still be eligible for a discount.
Severe mental impairment
You may be able to apply for a discount on your council tax bill if you or someone you live with is severely mentally impaired. You’ll need to:
- Obtain a certificate confirming severe mental impairment from a medical professional, such as your GP
- Demonstrate your eligibility for certain benefits – check with your local council
If you qualify as severely mentally impaired, you’ll receive a 100 per cent discount if one of the following applies:
- You live alone
- Any other adults in your household either qualify as severely mentally impaired or are full-time students
There’ll be a 50 per cent discount on the council tax bill if everyone else in your household is “disregarded”.
Council tax reduction
If you’re on a low income, you can apply to your local council for council tax reduction (sometimes referred to as council tax support).
GOV.UK states: “You could be eligible if you’re on a low income or claim benefits. Your bill could be reduced by up to 100 per cent. You can apply if you own your home, rent, are unemployed or working.”
Your eligibility for council tax discounts or exemptions depends on several factors, including your location as each council runs its own scheme. Other considerations include your personal circumstances such as income, number of children, benefits, and residency status.
Your household income, which includes savings, pensions and your partner’s income, is also taken into account, as well as whether your children live with you and if other adults reside in your home. To check your eligibility, visit the Government website here.
Being “disregarded” for council tax
Certain people, like students, are considered “disregarded” for council tax purposes. Other people who fall under this category include those who are:
- Under 18 years old
- On certain apprentice schemes
- Under 25 years old and receive funding from the Education and Skills Funding Agency
- A student nurse
- A foreign language assistant registered with the British Council
- A live-in carer for someone who is not your partner, spouse, or child under 18
- A diplomat
Even if you’re disregarded, you still need to apply for a council tax discount or exemption.