Discretionary Relief Scheme (CTDR)

Section 13A Policy and How to Apply

 

Council Tax reductions in special circumstances (Section 13A)

Section 13A (1) (C) of the Local Government Finance Act 1992 as amended by Section 10 of the Local Government Finance Act 2012, gives the council additional discretionary powers to reduce the amount of Council Tax payable for individuals, or for classes of council taxpayer. This type of reduction can apply to both occupied and unoccupied properties.

We can only give Section 13A reductions in exceptional situations. The money to cover the reductions comes out of our own funds and the decision to make a reduction is at our discretion.

The scheme is in place for those residents who find themselves in exceptional circumstances and require short term assistance to meet their Council Tax obligation. It is important to define what could be considered exceptional and, in this case, it would be a situation that was not typical, was entirely unusual and only likely to happen very infrequently. Exceptional situations for the purpose of this scheme are likely to be things entirely out of the control of the council taxpayer, such as flooding to a property as an example.

 

Eligibility for a Section 13A Council Tax reduction

The scheme is intended to be a last resort for exceptional situations and circumstances. It is not intended to replace any discounts, exemptions, or council tax reduction (CTR) awards. Whilst this policy sets out the general principles and factors for consideration, it is important that each case is considered on its merits. However, some, or all the following criteria should be met for each application.

• There must be clear, demonstrable evidence of financial hardship or exceptionally difficult personal circumstances that will justify a reduction in council tax liability
• The taxpayer must satisfy the Council that all reasonable steps have been taken to resolve their situation before making an application
• The taxpayer must have applied for council tax reduction (CTR) – the scheme which ensures that those on low incomes receive financial support towards their council tax
• The taxpayer must have applied for the Council’s exceptional hardship fund (EHF)
• All other discounts and reliefs must have been applied to the council tax account
• The taxpayer does not have access to other assets that could be used to pay council tax
• The taxpayer does not expect to receive a windfall in the near future, for example inheritance
• The Council’s finances allow for a reduction to be made
• The situation and reason for the application must be out of the taxpayer’s control
• The amount outstanding must not be because of wilful refusal or culpable neglect
• An award can only be made for the Council Tax element of any charge and will not include any court or enforcement costs applied

Reductions under this policy will not be awarded in the following circumstances:

• Where the full council tax liability is being met in full by Council Tax Reduction (CTR)
• Where the Council considers that there are unnecessary expenses and debts, and the applicant has not taken reasonable steps to reduce these
• Where the council taxpayer has assets that could reasonably be used to pay the council tax. For example, this includes payment being made from proceeds of sale of a property
• To cover any increase in the council tax payable due to the failure by the applicant to notify changes in their circumstances in a timely manner or where the applicant has failed to act correctly or honestly
• To reduce or remit council tax which can be recovered by legislated methods available to the Council
• To cover court costs or administration fees

 

How to apply

The person(s) liable for council tax, their appointee or representative, is required to apply for a Section 13a reduction to the Council.

The applicant must provide details of any special circumstances and/or exceptional hardship being experienced and provide evidence to support their application.

Evidence required may include, but is not limited to:

• Full details of income and expenditure
• Last two-months bank statements for all accounts held by the applicant
• Full details of any capital and other assets
• Confirmation of outgoings including debt repayments, outstanding loans, and credit card debt
• Details of personal illness confirmed by a GP or support worker

We will need evidence of your situation and of what you have done to try to resolve the problems. We will also need to be sure that if you are in arrears with your Council Tax, this is for a genuine reason – not simply because you have chosen not to pay.

If you are applying because of fire or flood damage, you will need to send full details of the damage plus evidence such as reports, photographs and written confirmation from your insurance company that they will not cover the Council Tax in respect of the damaged property.

Apply here

 

What happens next

We will look at the information you have provided and come back to you if we need more details.

Once we have everything we need:

• Individual applications will be determined by either the Council’s Revenues Manager or Benefits Manager.
• Applications which relate, or could potentially relate, to a class or classes of case (for example, a group of properties affected by flooding) will be determined by the Cabinet Member with responsibility for Finance following consultation with the section 151 officer.
• All decisions will be notified to the applicant in writing as soon as practicable, and the Council will normally determine applications within 6 weeks from receiving all required information.

If we agree to award a Council Tax reduction, you will get a new Council Tax bill to confirm. If we decide not to award you the reduction, you can request for a review of the decision and any other options available.

• The award of a discretionary reduction is normally considered to be a source of temporary assistance and should not be considered as a way of reducing Council Tax liability indefinitely.
• The award would normally cease at the end of the financial year unless an earlier date is specified, but this would not preclude the application from seeking further awards in subsequent years.
• Any award under this policy would not normally be backdated more than 12 months, although consideration would be given if the applicant can demonstrate good reason for not applying sooner.

If the applicant remains dissatisfied with the decision, an appeal may be made to the independent Valuation Tribunal. Further details on this process will be notified to the applicant with the outcome of any previous review of the decision.

 

Support with your application

For further help with your application, you can speak to our team on 01268 882298 or email recovery@castlepoint.gov.uk