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Who pays council tax

Date updated: 18/05/2022

To work out who has to pay council tax for your property, look at the list below, (this list is often referred to as the hierarchy of council tax liability):

  • a resident freehold owner (ie the owner-occupier)
  • a resident leasehold owner 
  • a resident statutory tenant or secure tenant
  • a resident under a licence to occupy 
  • a resident
  • the owner (this applies where the dwelling has no residents)  

The person (or persons) highest in the list is responsible for paying council tax, (the "liable person").

A resident is a person 18 years of age or over who lives in the dwelling as their only or main residence.

Joint and several liability

There can be more than one liable person in a property. People who are joint owners or joint tenants are jointly and severally liable for paying council tax for the dwelling. This means that the bill can be addressed to either or both of them and either one can be asked to pay the full amount.

Husbands and wives and civil partners are automatically jointly and severally liable, while they both live at the dwelling. This will include couples living together as if they are husbands and wives/civil partners.

Council tax liability for owners, landlords and tenants

Who is the owner?

The owner for council tax purposes includes freeholders or leaseholders, but it also includes an interest in a property which has been granted for a term of six months or more. 

This means that a tenant who has an assured shorthold tenancy for a period of six months or more, is the “owner” for council tax purposes and will be liable to pay council tax for the entire period of the tenancy, even if they do not live in the dwelling. 

Liability of the owner for houses in multiple occupation (HMO)

The owner of the property is liable to pay council tax on houses of multiple occupation. These are properties that are occupied by more than one household (or by one or more tenants each with their own tenancy agreement for part of the property).

The following properties are likely to be houses in multiple occupation (HMO):

  • bedsits
  • shared houses/student housing
  • lodgings
  • individual shared self-contained flats/cluster flats
  • halls of residence (privately operated).

This does not include a group of people with a shared tenancy agreement for the entire property. As joint tenants they are treated as jointly liable for council tax under the hierarchy of liability detailed above. 

Council tax liability appeals 

If you don’t think that you are liable to pay council tax and wish to appeal a bill issued you should contact the Council Tax Team first.  You should state the reasons for any appeal and provide documentary evidence to support your claim.

If you are not happy with our response, then you have a further right of appeal to an independent body the, Valuation Tribunal