Steps to the Recovery of Unpaid Council Tax

Introduction

This explains the steps in the recovery of unpaid Council Tax.

We urge people to contact Customer Services if they have difficulty in paying. It is often possible to reach a different payment agreement and avoid further reminders or a summons.

We always suggest people talk to us rather than just hope that the problem will go away. Unfortunately it won't because we take very determined action to make sure that payment is made, because we have a duty to collect Council Tax from people who owe it to the Council.

Annual Demand

Many problems can be avoided by getting in touch with the Council as soon as your annual demand is received. If you have difficulties with payment, contact the Recovery Section at customerservices@northwilts.gov.uk.

Missed Instalment

If payment is not made within 7 days of the instalment date, the Council can start recovery proceedings, in practice we do usually wait a little longer.

Reminder

If a payment is overdue, a reminder is issued for the arrears amount. If payment is then made within 7 days, the instalments continue. If you cannot bring your payments up to date within 7 days you should contact the Recovery Section. It may be possible to make different arrangements.If payments are not brought up to date within 7 days and no contact has been made with us, a Summons is normally issued for the FULL amount of Council Tax still outstanding for the year.

Final Notice

If another instalment is missed after a Second Reminder has been sent, a Final Notice is issued for the FULL amount of Council Tax still outstanding for the year. The right to pay by monthly instalments is lost and unless the whole amount due is paid within 7 days a Summons may be issued and extra costs charged. A payment arrangement may still be possible, however if there is any further default a Summons will be issued without any further Reminder being sent.

About a Summons

If the amount shown on a Reminder Notice or Final Notice is not paid within 7 days a Court Summons will be sent for the balance outstanding for the year, plus additional costs. If full payment is made to the Council before the Court Date, including the costs, that is the end of the matter. If full payment is not made the case is presented to the Magistrates' Court and additional costs added. Although the Summonses request attendance at Court, if an arrangement is made before the Hearing it is not necessary to appear but Court action will continue and additional costs will be added.

Liability Order

The Court normally grants the Council a Liability Order which gives the Council several options for recovery. Initially questionnaires may be sent requesting employment details. Failure to complete and return these could lead to a Court fine of £500.

A Liability Order enables the Council to recover the outstanding balance by Attachment of Earnings or Income Support/Jobseekers Allowance or through bailiff action. It is also possible, in some cases, to start insolvency proceedings (leading to bankruptcy), apply for a charge on a property or to start proceedings for committal to prison.

Attachment of Earnings

A letter is sent to the employer (with a copy to the debtor) ordering deductions to be made from wages/salary in accordance with a scale which is fixed by law.

Deductions for Income Support/Jobseekers Allowance

A letter is sent to the Benefits Agency requesting weekly deductions (currently £2.75).

Bailiffs

The Council uses an external bailiff company to recover money. Letters are sent to the debtor giving 14 days notice before the debt is passed to the bailiffs. Once it has been passed over the Council will not enter into any further arrangement for payment, instead the bailiff will administer the case. Usually the bailiff will accept a reasonable offer of payment. The bailiff will attempt to contact the debtor directly and extra costs will be incurred.

Insolvency

A debt due under a Liability Order is a debt for the purposes of Insolvency and so, depending on the outstanding balance, the Council could petition for the debtor to be declared bankrupt.

Charging Orders

Depending on the amount outstanding the Council can apply to the County Court for a charge to be registered against a property so that the debt is paid out of the proceeds of sale.

Committal to Prison

If the bailiff is unable to obtain payment, the debt will be returned to the Council. In order for an inquiry to be made, to establish the debtors means and whether non payment is due to refusal or neglect, a Summons may be issued requesting the debtor's attendance at Court. Depending on the circumstances the Court may tell the debtor how much to pay each week or issue a warrant for committment to prison. If a debtor does not pay as ordered by the Court they may have to appear before the Court again and could be sent to prison.

Who to Contact

If you cannot pay your Council Tax and want to discuss your arrears, then please contact Customer Services Recovery Team at Monkton Park, Chippenham SN15 1ER, Telephone (01249) 706246 or email us at customerservices@northwilts.gov.uk.

If you require a private interview please ask at the Reception desk at Monkton Park.

If you are on a low income you may be eligible for Council Tax / Housing Benefit. Contact Customer Services, Monkton Park, Chippenham SN15 1ER, Telephone (01249) 706246.

If you require impartial advice with debt problems, further help is available from North Wilts Citizens' Advice Bureau. Opening times are shown below.

Chippenham Monday - Friday 10:00am - 4:00pm
Wednesdays Telephone advice only
Thursdays 10:00am - 4:00pm
3 Avon Reach, Monkton Hill, Chippenham, SN15 1EE, Telephone (01249) 443046
Appointments, emergencies, wheelchair access.

If you have a complex question, a list of questions or a form to fill in you will need to make an appointment.

Corsham Wednesdays 10:00am - 3:00pm
Community Centre, Beechfield Road, Corsham
Advice in person, no appointments, wheelchair access.

Wootton Bassett Thursdays 10:00am - 3:00pm
Library, Boroughfields, Wootton Bassett
Advice in person, no appointments, wheelchair access.

Calne Fridays 10:00am - 4:00pm
21 High Street, Calne, SN11 0BS, Telephone (01249) 821116
Advice in person, no appointments, wheelchair access