Council Tax arrears

[spinningbee]

We are having problems with our Council Tax, and I was wondering if anyone could offer advice.

We had some arrears, which we were paying off as a bit extra each month with our normal monthly payment. My husband dealt with it all, and I assumed he was making the monthly payments. Then last year, the company he worked for closed down. My husband became quite depressed, and unfortunately some bills went unpaid. One of these was the Council Tax. I knew nothing about it until we got a letter through the door from Equita, saying that unless they received payment, they would come and remove goods from the property.

My husband and I talked, and he confessed how bad things had become. He rang Equita, and was told that the minimum they would accept as payment was £150 per month, and would not budge on the amount. My husband panicked and paid £150 on his debit card, which left us short that month. When we got the new Council Tax bill a couple of weeks ago, it said we owed £860 arrears, and it was subject to court proceedings.

I telephoned the council, partly because I decided to take over the payments myself (as much as I love my husband, I'm wary about trusting him to pay it). I explained what had happened, how the bailiff had virtually bullied my husband into making a payment we couldn't afford, and how we'd had no acknowledgement or receipt for that payment. I told her that I would like to take over the payment, and proposed paying an extra amount on top of our new monthly bill. At first, she just kept saying "once it's gone to the bailiffs, there's nothing we can do". Eventually, she transferred me to someone else, I think in the collections department.

This time, I was told that they could "try and get the debt back from the bailiffs" but they'd have to put an arrangement on our account. She wanted all sorts of details about my husband's employment, and said that if the arrangement went on, they'd accept a minimum of £80 per month, and any missed payments meant that the debt would come out of my husband's wages at a rate of 17% a month.

At this stage, I'm wondering what my options are - £80 is still a lot, but I think we could do it at a push. The way it's been presented to me by the council, it's either that, or fight it out with the bailiffs. The problem is, I worry about the implication of this going on my husband's employment record.

Thank you for reading all this - any thoughts much appreciated

[old_andrew2007]

Hi

I am no expert so please wait for advice from more experienced members, my suggestion is going to the CAB for example and asking them if they could assist in negotiations with your local authorities revenue department.
It might also help to write rather than telephone, you will at least have some proof of any agreement.
Another thought you could speak to your local councilor, asking for their support in your negotiations.

Regards

Andy

[tf82]

hi spinningbee, my sister works in our local council recovery dept.. they onlytake your employment details as a cover incase you break your agreement to pay, providing you keep to the arrangement and pay the amount agreed every month on the date agreed you will be fine ( your employer knows nothing a this stage) however if you break the agreement i.e not pay or get into arrears what they will then do is write to your employers and ask for the arrangement to pay to be directly deducted from your salary.. showing on your payslip. You will also get a notification that they have done so ( letter in the post)

Please note only HR are entitled to know action this request as part of their payroll, so if your worried bout collegues finding out - i wouldnt.

hope this helps and you get back on track soon .

[Mmmmmmm]

Originally Posted by tf82

hi spinningbee, my sister works in our local council recovery dept.. they onlytake your employment details as a cover incase you break your agreement to pay, providing you keep to the arrangement and pay the amount agreed every month on the date agreed you will be fine ( your employer knows nothing a this stage) however if you break the agreement i.e not pay or get into arrears what they will then do is write to your employers and ask for the arrangement to pay to be directly deducted from your salary.. showing on your payslip. You will also get a notification that they have done so ( letter in the post)

Please note only HR are entitled to know action this request as part of their payroll, so if your worried bout collegues finding out - i wouldnt.

hope this helps and you get back on track soon .

This is very interesting to me - can you back this up with some legislation. I would have thought they needed a court order to place an attachment on your earnings?

mX

[Hobbie]

Council Tax (Administration and Enforcement) allo ws a council to do quite a great deal in getting monies owed for outstanding council tax.

This includes, the ability to issue a court summons without the court even knowing it is issued, even the police can't do this.

Also once the coucil is granted a liabilty order, you then have 14 or 28 days to provide your employers details, in which you MUST supply this information, the liabilty order allows the council to then take an attachment of earnings directly from your salary.


(Sniff sniff, Im sure I can smell something)

[tf82]

Im not sure of any legislation im afraid. However when speaking with my sister generally what happens with most of her cases is that they go to court , court goes in councils favour to pay the full amount, however if you contact the recovery dept they will go down the pay arrangement route rather than not get anything back at all..

[Mmmmmmm]

Originally Posted by Hobbie

Council Tax (Administration and Enforcement) allo ws a council to do quite a great deal in getting monies owed for outstanding council tax.

This includes, the ability to issue a court summons without the court even knowing it is issued, even the police can't do this.

Also once the coucil is granted a liabilty order, you then have 14 or 28 days to provide your employers details, in which you MUST supply this information, the liabilty order allows the council to then take an attachment of earnings directly from your salary.


(Sniff sniff, Im sure I can smell something)

Thanks for that

mX

[sequenci]

Hobbie is right.

Take a look at Regulations 36-43 of the Council Tax (Administration & Enforcement) Regulations 1992, these cover Attachmentof earnings. It should be noted that a court order is NOT required (unlike country court attachement of earnings orders).

[Mmmmmmm]

Originally Posted by sequenci

Hobbie is right.

Take a look at Regulations 36-43 of the Council Tax (Administration & Enforcement) Regulations 1992, these cover Attachmentof earnings. It should be noted that a court order is NOT required (unlike country court attachement of earnings orders).

And thank you too honey

I have a friend who will benefit from this

mX

[sallysas]

An Attachment of Earnings order works a bit like a sliding scale. It goes something like 20% of earnings if you are being paid less that £2000 a month. Still a pain though.................