Who Pays the Council Tax?
Where a dwelling is occupied as a sole or main residence, the Council Tax is paid by the Resident, defined as any person of 18 years or more who has his or her sole/main residence in the dwelling concerned.
The rules of liability are set out in section 6 of the LGFA and are based on a hierarchy of liability. That is, the liable person is whomever comes first into the applicable category from the list below:
Resident Freeholder
Resident Leaseholder
Resident Statutory or Secure Tenant
Resident with License to Occupy
Resident with no Agreement
Non-Resident Owner
Exceptions
There are some exceptions to single-occupant residents being liable for council tax. These are:
Joint and Several Taxpayers who are persons with the same interest in the dwelling are equally liable for the Council Tax. Married/Unmarried couples are joint and severally liable even if they do not have an equal interest in the dwelling
Severely Mentally Impaired (SMI) persons cannot be liable if they reside with a non-SMI person. If a husband and wife live together and one of them is Severely Mentally Impaired then the non-SMI will be the sole liable person
Students from April 1st 2004; a student cannot be liable if they reside with a non-student
Owner Liability
There are, in addition, 6 categories where the owner is liable regardless of hierarchy table:
A - Residential Care homes
B - Religious Communities
C - Houses in Multiple Occupation (HMO)
D - Occupied by Resident Staff
E - Ministers of Religion
F - Asylum Seekers