What happens if you do not pay your Council Tax?

Paying by Direct Debit

Direct Debit ensures that your payments are made on time every month without you having to remember to pay. You can also choose different payment dates with Direct Debit. 

If you would like to pay by Direct Debit, please call us on 01329 824651 or see our payment page for more information.

Your Council Tax Bill

Your Council Tax is due as shown on the latest bill we have sent you. This sets out how much you need to pay and your instalment dates.

If you miss a payment or do not pay on time, we must take recovery action, and you may have to pay additional costs. Our recovery process follows legal requirements.

If you are struggling to pay or cannot afford your instalments, please contact us immediatelly so we can discuss support or alternative arrangements.

Reminders

If you miss a payment or do not pay on the date it is due, we will send you a Reminder Notice asking you to bring your account up to date within 7 days.

• If you pay within 7 days, you can continue with your instalments as normal. 
• We can issue a maximum of two reminders in a financial year.

If you cannot pay the balance, please contact us straight away. If the overdue amount is not paid, the next stage is a summons.

Final notice

If you receive a reminder and then miss another instalment, or if you have no instalments left and do not pay the final one, we will send you a Final Notice requesting that the full balance for the year is paid within 7 days as you have lost your right to instalments.

If you cannot pay, please contact us immediately. If the balance remains unpaid, the next stage is a summons.

Summons

If you do not pay after reminders or a final notice, we may issue a magistrates' court summons. The court authorises us to issue this summons.

When a summons is issued, costs are added to your account immediately.

You do not have to attend the court hearing, but it will still go ahead if you do not attend.

If any balance remains outstanding at the hearing, the Magistrates may grant a Liability Order.

If you cannot pay the amount on the summons in full before the hearing date, please contact us immediately.

What happens at Court for Liability Order hearing

You do not need to attend the court hearing. The hearing will still take place if you do not attend.

A Liability Order:

• confirms you are legally responsible for the Council Tax due
• is not a criminal offence
• does not give you a criminal record
• does not affect your credit rating

The hearing is a bulk process. The Council provides the court with a list of all accounts where a Liability Order is being sought, and evidence that:

• a bill was issued correctly
• reminder or final notices were issued in line with legislatoin
• a balance remains outstanding

Valid Defences the Court can consider

The Magistrates' Court can only consider a small number of legal defences. It will only decide whether the bill is legally due and whether the correct process has been followed.

The bill was not issued correctly

This includes situations where:

• the Council Tax bill was not sent
• required reminder or final notices were not sent
• documents were sent to the wrong address

The law only requires the council to send the documents, not for you to receive them. Bills and notices are issued to your last known address we hold for you.

You are not liable for Council Tax for that period

This may apply if:

• you moved out before the period charged.
• someone else is legally responsible (based on the hierachy of liability
• the property is exempt
• you qualify for a full exemption (e.g. severe mental impairement)

Evidence may be required, such as a tenancy agreement of proof of address.

The amount is wrong due to a billing error

For example:

• incorrect dates
• discounts removed incorrectly
• Council Tax Support not applied
• benefit changes not processed
• duplicate charges

The Council Tax has already been paid

A defence applies if:

• you paid before the summons was issued
• the payment was not correctly allocated
• you can provide proof (receipt, bank statement, confirmation)

Payments made after the summons date do not normally prevent a Liability Order.

The council did not follow the statutory process

This includes cases where the council:

• did not issue a reminder or final notice correctly
• applied instalment rules incorrectly
• issued a summons too early
• failed to follow statutory timescales

What the Court cannot consider

The following cannot be used as a defence:

• difficulty paying or affordability issues
• disagreement with your property's Council Tax band
• being in a debt management plan
• personal circumstances
• complaints about the council or a precepting authority

These issues are dealt with seperately and not at the Liability Order stage.

If you Do Not have a Defence

You can still:

Talk to us about a payment arrangement

We will try to agree an affordable plan

Ask us to review costs

If an error has been made, we may amend the costs

Seek free debt advice

You can contact organisations such as Citizens Advice or view local support available

Liability Order

If the Magistrate agrees that you are liable for Council Tax, they will grant a Liability Order and grant further costs. You will not receive a document from the court, but we will send you a Liability Order Notice confirming this.

Once a Liability Order has been granted, we can take further recovery action, which may include:

Deductions from benefit or earnings

We can ask your employer or the Department for Work and Pensions to take payments directly from your wages or benefits.

Enforcement agents (bailiffs)

If the debt is passed to enforcement agents, a fee of £75 is added immediately and a further £235 fee minimum, if you do not engage. These fees are set by law in accordance with the Taking Control of Goods (TCOG) act 2014.

Charging Order

If you own your home, we may apply to the County Court for a charging order, which secures the debt against your property this will also incur you further costs.

Bankruptcy

If other recovery options fail, we may begin bankruptcy proceedings which will also incur you further costs.

Summons and Liability Order Costs

Breathing Space

New regulations introduced on 04 May 2021 help people in problem debt manage their finances. To find out if you are eligible, please see our Breathing Space webpage.

Contact us

For further information please contact the Council Tax office on Tel: 01329 824651, or e-mail counciltax@fareham.gov.uk.