Once again Firstport appear not to be able to give clear answers to legitimate questions.
This time the issue is Council Tax for house manager's flats. Specifically, who pays what and when?
So, let us begin with who is liable for council tax?
The answer given is as follows in ranking order:
A resident of the property who has a freehold interest.
A resident who is a statutory or secure tenant of the whole or any part of the building.
A resident who has a contracted licence to occupy the whole or part of any property.
Of course the concept of a charge to residents for a house manager's flat is clear.
It is widely accepted that the running costs of the house manager's flat is met by way of the service charge.
It must be open to question as to wether council tax is part and parcel of the running costs of a house manager's flat?
Council tax is paid to provide all the local council services and amenities.
It pays for infrastructure, police, fire brigade, rubbish collections, lighting , parks and various support services provided by the council.
None of those services are integral to the running of a house manager's flat. The house manager benefits from those services and theoretically should pay for their services. wages should have been increased to house managers to cover the payment of council tax.
Either that or the company that has a leasehold interest in the house manager's flat should be liable for the council tax.
Assuming that the house manager is not paying council tax and in effect being subsidised, a case could be made to HMRC that they were receiving a "Benefit in kind", which would leave house managers with a further tax liaiblity.
When a property has a single occupancy or is empty, council tax attracts a 25% rebate.
So, if a house managers flat is occupied by a single person, the council tax is 25% cheaper.
But if a partner moves in, the 25% discount is no longer applicable.
That means if a partner does move in and residents are paying for the house manager's council tax residents are funding the house manager's partner.
You won't find that stipulation in any lease!
Evidence has emerged that some developments have paid council tax, some have not.
As yet no one at Firstport has been able to provide a clear cross development answer(though to be fair) some former Phones 4 U salesman have tried their best to answer the question!
Residents are urged to check this out to see what they are paying.
Firstport use code numbers to identify expenses.
It appears that unbeknown to Firstport, a group of residents (Dribbling Geriatrics) as they were once described as by a former director used to work at Bletchley Park. Not only did tghey manage to crack the Enigma code, but they have now cracked the Firstport codes as well!
Council Tax payments will be recorded under the number 1310.
