21. Getting your council tax bill
You will normally receive your council tax bill in March or April. It will tell you the amount you have to pay and how that amount has been worked out. The bill will also set out the amount of each instalment and the dates on which each one should be paid. Normally, you will be offered ten instalments, although that number will be reduced if the bill is issued after the end of April.
22. What if the bill is wrong?
If you think the bill is wrong in any way you should tell the council immediately. Unless you make other arrangements with the council, you must continue to pay the amounts set out in your original bill until you are sent a revised bill.
23. What if the amount I have to pay changes during the year?
If the amount of council tax you have to pay changes during the year, perhaps because your entitlement to a discount or benefit changes, you will get a new bill. This will tell you what the new amount for the year is, and what instalments you now have to pay.
24. What if I have trouble paying the bill?
As soon as you realise you have a problem paying your bill you should talk to your council; you may be entitled to a reduction in your bill, for example, through council tax benefit. The council may also be able to help you by rescheduling your payments. But do not ignore the bill completely; if you do not pay it and fail to agree in writing any other arrangement with the council, they may take recovery action which could increase considerably the amount you have to pay.
25. What if I don't pay?
If you miss a council tax instalment you will get a reminder notice giving you seven days to bring your council tax payments up to date. If you do not do so within the time, or if after a second reminder you fall behind with your payments again, you will have to pay the outstanding balance of your council tax bill (i.e. the full amount for the rest of the year). If the balance is not paid, the council will probably start recovery action.
26. What action can the local authority take?
The council can apply to the magistrates' court for a liability order. You will be sent a summons telling you when the court will consider the application and the amount the council is seeking to recover. This will be both the outstanding amount of council tax plus the cost to the council of making the application. You have the right to attend the court and offer evidence as to why the order should not be made.
Even if you decide not to attend court, you should speak to the council or, if you prefer, your local Citizens Advice Bureau. The council will try to come to a reasonable arrangement with you for payment but they cannot do that unless you contact them. If you make an arrangement and stick to it, you will avoid any further recovery costs.
27. What powers does the liability order give the council?
If a liability order is granted by the court, the council can demand certain information from you about your employment and earnings to help them decide how to recover the debt. You are legally required to give the council this information and it may help you pay the bill. The main options for recovery are as follows:
Attachment of earnings orders
The council can order your employer to recover the amount direct from your wages or salary and pay it straight to the council. The amount will be a set proportion of your pay after certain other deductions (such as income tax and national insurance) -your employer may also deduct a further £1 towards his costs in making each deduction and sending it to the council.
Deductions from income support
If you are receiving income support, the council may be able to apply for deductions from that benefit. Deductions are made at the rate of 5% of the personal allowance for a single claimant aged not less than 25. It is expected that from October 1996, it will also be possible to make deductions from the Jobseekers Allowance.
Distress
The council can employ bailiffs to recover the debt - this process is known as the levy of distress. The charges involved are set out in legislation - they can be quite considerable and you will be held liable for them. It is advisable to avoid matters reaching this stage if you can. Your council will give you written notice of their intention to levy distress. This gives an opportunity to settle the arrears without incurring additional charges.
If you are unable to pay the outstanding debt in full the bailiff has three options:
• he can agree a walking possession agreement with you. Your goods will not be removed so long as you meet the payment arrangements agreed with the bailiff;
• he can take close possession of your goods by staying on the premises until payment is made or the goods are removed for sale;
• or he can remove the goods with a view to their sale.
Other options for enforcement action include bankruptcy proceedings, and, for a debt of £1000 or more, a charging order whereby the authority may apply to a county court for a charge on the debtor's property.
28. What if I am still unable to pay?
The council may apply to the magistrates' court for a warrant committing you to prison. The council will only take this step when other efforts have failed and when they have already unsuccessfully tried to levy distress.
Before issuing a warrant of commitment the court must hold a means enquiry with you present. A warrant will only be issued if the court is satisfied that the failure to pay is the result of wilful refusal or culpable neglect. The maximum period of imprisonment is three months. The court may decide to fix a term of imprisonment and postpone the warrant on certain conditions, normally relating to payment of the debt over a period of time. The court also has the power to remit all or part of the debt where no warrant is issued or term of imprisonment fixed.
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