How to apply for council tax rebates on your empty BTR/PBSA property

Are you the owner of a Build-to-Rent (BTR) or Purpose-Built Student Accommodation (PBSA) property currently sitting empty? Did you know that you could be eligible for a council tax rebate? By taking advantage of rebates, you could be saving a significant amount of money. 

As a property owner, it's essential to understand the ins and outs of council tax on empty properties and the exemptions that apply. In this guide, we'll walk you through the process of applying for council tax rebates on your empty BTR or PBSA property, ensuring you claim what you're entitled to. 

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What are council tax rebates? 

Council tax is a tax on domestic properties in the United Kingdom, paid to local authorities to fund essential services such as police, fire and rescue, and waste collection. As a property owner, you're responsible for paying council tax, but did you know you could be eligible for a council tax rebate if your property is empty? 

Council tax rebates are a way for property owners to reclaim a portion of the council tax they've paid on an empty property. Empty properties are defined as those that are not occupied by any person and are unfurnished or substantially unfurnished. The rebates are typically calculated as a percentage of the council tax paid, depending on the length of time the property has been vacant. 

Your empty property must meet specific criteria to be eligible for a council tax rebate. For example, it must have been unoccupied for at least 6 months to qualify for a full rebate. If the property has been unoccupied for less than 6 months, you may still be entitled to a partial rebate. The rebate criteria and refunds will vary from council to council, so please be aware when making your applications. 

Other eligibility criteria for council tax rebates on empty properties include the following: 

• The property must be unfurnished or substantially unfurnished 
• You must be the liable person for council tax on the property 
• You must not have prohibited occupation of the property 
• The property must not be exempt from council tax. 

You may be entitled to a rebate if your empty BTR or PBSA property meets the eligibility criteria. The following section will delve into council tax on empty properties and the applicable exemptions. 

Council tax on empty BTR or PBSA properties 

If your BTR or PBSA property is currently unoccupied, it's essential to understand the council tax rules and exemptions that apply. 

Under normal circumstances, an unoccupied property is subject to full council tax charges. However, certain exemptions may apply to your empty property, such as: 

• Properties that are empty due to major works or structural alterations 
• Properties that are unoccupied and are the responsibility of a trustee in bankruptcy
• Properties where the liable person has passed away, moved to a care home or is in prison 
• Properties that are waiting for occupation by a minister of religion 
• Properties that are prohibited from occupation by law, such as those deemed unsafe or unfit for habitation. This includes those marked for demolition under compulsory purchases. 

If your property falls under any of these categories, it may be exempt from council tax, and you will only be required to pay council tax once the exemption ends. However, it's important to note that each exemption has specific criteria that must be met, and you'll need to apply for the exemption with your local council. 

If your empty property is not exempt from council tax, you'll be required to pay the full council tax charges, which can be expensive. This is where council tax rebates come in, as they can help offset some of the costs. 

It's worth noting that in some cases, your BTR or PBSA property may be subject to council tax, even if it's unoccupied. For example, if the property is let to tenants but no one lives in it, you'll still be required to pay council tax as the landlord. 

In the next section, we'll discuss applying for a council tax rebate on your empty BTR or PBSA property, so you can make sure you're paying only what you need to.

Applying for council tax rebates on empty BTR or PBSA properties 

If your BTR or PBSA property is currently unoccupied and not exempt from council tax, you can apply for a rebate to help offset some of the costs. Here's a step-by-step guide to help you through the process: 

Step 1: Check your eligibility for council tax rebates 

Before applying for a rebate, you must ensure you're eligible for one. Generally, you'll qualify for a rebate if your property has been unoccupied for more than 3 months and you're not currently receiving any other discounts or exemptions. However, eligibility requirements and refund percentages can vary depending on your local council, so it's best to check with them first.

Step 2: Complete the rebate application form 

Once you've confirmed your eligibility, complete the council tax rebate application form. This can be found on your local council's website, or you can request a form sent to you by post.  

The application form will typically require you to provide details about yourself, the property, and the period for which you’ll claim the rebate. You may also need to provide evidence to support your claim, such as proof of ownership or evidence of the property's unoccupied status. 

Step 3: Submit your rebate application 

Once you've completed the application form and gathered any required evidence, you must submit your application to your local council. You can do this online or by post, depending on your council. 

Step 4: Wait for the council’s decision 

After submitting your application, you must wait for your local council to decide on your claim. This can take several weeks, depending on the council's processing times. 

Step 5: Receive your rebate 

If your council tax rebate claim is successful, you'll receive a rebate for the relevant period. This will be applied to your next council tax bill, reducing the amount you must pay.  

In the next section, we'll discuss the deadline for applying for rebates, so you can make sure you get all the benefits. 

Deadlines for council tax rebates on empty BTR or PBSA properties 

If you own an empty BTR or PBSA property and are eligible for rebates, you must know the deadline for submitting your application. 

The deadline for rebates on empty BTR or PBSA properties in the UK is typically 31 March of the following year. For example, if your property was vacant for the 2022-2023 tax year, you have until 31 March 2024 to apply for a rebate. 

It's crucial to ensure that you submit your application before the deadline, as applications submitted after the deadline will not be accepted. 

Furthermore, it's important to note that the deadline may vary depending on the local authority in which your property is located. You should check with your local council to confirm the deadline for rebate applications for empty properties in your area. 

To avoid missing the deadline, it's recommended that you keep track of important dates and set reminders for yourself. This will ensure you know the deadline and have ample time to submit your application before it's too late. 

Let Cloudfox help you claim your council tax rebates on empty BTR and PBSA properties! 

We know that applying for a rebate on your empty BTR or PBSA property can help ease your financial burden during periods of vacancy. That’s why we ensure you know your eligibility and don't miss the deadline for submitting your application. In fact, we can do that for you.  

Our bookkeeping service can help you stay on top of your finances and ensure you get all the available rebates and exemptions. Fill out the form below!