Hi I would appreciate any advice from anyone on this one.
After losing our business my wife and I went bankrupt on 18th May 09. Our house was listed as an asset on the bankruptcy petition, and we had been trying to sell it as repossession procedures had been started by the bank. After informing the council of our bankruptcy we recieved (to our new rented address) a council tax notification for the property stating that the council tax account had ceased and there was NIL to pay. That was the last we heard until recently recieving a court summons for unpaid council tax from 18th May 09. We rang the council and explained (again) & they refused to call the OR saying that it was up to us to sort out. We called the OR who said it was after the date of bankruptcy so we had to sort it out, but they were sure the judge would be favourable! Surely a property ceased as an asset as part of bankruptcy proceedings is exempt from council tax - we relinquished any interest in the property. Are we still liable for the council tax after bankruptcy even though the property is now effectively in the hands of the OR for our creditors?
As i said any advice most gratefully recieved - we are in court tomorrow afternoon.
Right, if the house has not yet been formally repossessed, it should have had a Class C exemption awarded by the council, this lasts for 6 months. If it has been repossessed, then your property should have been awarded a Class Q exemption by the council
( Class Q An unoccupied dwelling where the liable person is a trustee in bankruptcy)
I also found myself in this postion, seems to me that the staff at these councils do not really understand about this! I had to ring them up and tell them and send in a copy of my bankruptcy order to them. My OR also did not have a clue and told me I should pay it The internet was my friend and I researched it all myself and told the council what should be happening, although to stop court action, I had to start paying the council tax in installments but I did get a refund in the end
Hi I would appreciate any advice from anyone
Posted - 29 September 2009 : 08:38:06
The internet was my friend and I researched it all myself and told the council what should be happening, although to stop court action, I had to start paying the council tax in installments but I did get a refund in the end
