The latest data from the Scottish Government reveals that as of March end this year, approximately 461,550 individuals were benefiting from a Council Tax Reduction (CTR) of around £800 on their yearly bill. The statistics suggest that one in five households are being aided through the scheme, which is unique to Scotland.
Only those with a low income and residing in Scotland may qualify for a Council Tax Reduction, which also offers successful applicants up to 35 per cent off their water and waste charges. While Council Tax rates have been held steady, water charges have seen an increase of 8.8 per cent.
Applying for a Council Tax Reduction now could potentially enhance summer finances and might even encompass an arrears award. This is due to the fact that eligibility for a Council Tax Reduction could result in recipients receiving a lump sum back payment or credit applied to their 2024/25 bill.
Although the Council Tax Reduction scheme primarily assists households with a lower income, support is also accessible for middle-earners or individuals struggling to keep up with payments – particularly those on a higher band.
To learn about obtaining assistance with your Council Tax, reach out to your local authority and discuss your financial circumstances, they may be able to place your account on ‘hold’ and agree on the next payment date, providing you with some much-needed respite to regain your footing, reports the Daily Record.
Details of other assistance, including additional financial support or for necessities such as food, heating and electricity, can be found on the Scottish Government’s cost of living crisis support website here.
Here is a quick guide on how to check your Council Tax bill and a list of situations that could result in you paying less each month.
Check if you could be exempt from paying Council Tax
You will not pay Council Tax if:
You are a full-time student.
You are in the Armed Forces in Forces accommodation.
You live in a care home or hospital.
Your home is unoccupied and empty (up to six months) – for example, if you’ve gone into hospital.
You have a severe mental impairment (e.g. dementia) – if you only live with someone who has dementia, then you’ll be treated as a sole occupant as they will be disregarded, but you won’t both be exempt.
Contact your local authority about your eligibility and how you can apply for an exemption – a link to all 32 local authorities in Scotland is at the bottom of this page.
Could you be eligible for a discount on your Council Tax bill?
There are some circumstances where you may get a reduction on your Council Tax and the amount of discount varies depending on your circumstances.
If you live alone
The full Council Tax is calculated assuming there are two or more people living in each home if you live alone, you should apply to your local council for a discount – you could get a 25 per cent reduction, regardless of your financial circumstances.
If you live with someone under 18 or a student
Council Tax is not calculated for anyone aged under 18, full-time students, student nurses and some apprentices or trainees.
If you are a carer
Carers who look after someone in the household for at least 35 hours per week and who meet additional criteria may be disregarded for Council Tax purposes, contact your local authority for their eligibility criteria.
Just be aware, this doesn’t apply if the person receiving care is the partner of the carer, or is the carer’s child aged under 18.
If there are major changes to the value of your home
You may be able to get your home moved to a lower band if it has decreased in value. For example, if you have made home adaptations for a disabled person, or if a motorway has been built nearby.
You may also get the band lowered if a room in the house is dedicated to equipment used by a disabled person on a daily basis.
If you change the way you pay
Although the total year’s amount will stay the same, you can request your bill be split over 12 months instead of 10, so you can spread the cost and reduce your monthly outgoings.
Alternatively, if you can afford to pay the whole bill in one lump sum, check with your local council if you can get a discount.
Apply for Council Tax Reduction
You may be eligible to claim a Council Tax Reduction if you’re on a low income or claiming certain benefits.
Council Tax support can be claimed regardless of whether you own your home or rent, and irrespective of your employment status.
Each local council runs their own Council Tax support scheme, leading to potential variations in the level of support across the country.
The amount you’re eligible for depends on several factors, including: the benefits you receive, your age, income, savings, who you live with, and how much council tax you pay.
Those receiving a disability or carers benefit may qualify for additional Council Tax support.
