Janice Lozano
Whether a student house has to pay council tax depends on several factors, including whether the students are part-time or full-time, the type of accommodation, and the number of non-students living in the property. In most cases, full-time students are exempt from paying council tax, while part-time students are required to pay it. If a student house is only occupied by full-time students, the property is typically exempt from council tax. However, if there is a mix of students and non-students, the non-students may be liable for the council tax bill. Additionally, the type of accommodation, such as a House in Multiple Occupation (HMO), can also determine whether the students or the landlord are responsible for paying council tax.
| Characteristics | Values |
|---|---|
| Full-time students | Exempt from council tax |
| Part-time students | Required to pay council tax |
| Student house occupied by full-time students only | Exempt from council tax |
| Student house with a mix of students and non-students | Non-students receive the bill but may get a discount |
| Student house with a mix of full-time and part-time students | Part-time students are liable to pay |
| Student HMOs | Landlord is responsible for paying council tax |
| Student houses during summer vacation | May not be exempt from council tax |
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What You'll Learn
Full-time students are exempt from council tax
If you're a full-time student, you're usually exempt from paying council tax. This exemption applies to any household occupied exclusively by full-time students, with no limit on the number of occupants. However, the students must be enrolled in a course that meets specific requirements, typically lasting at least one academic year or calendar year and involving a minimum of 21 hours of study per week.
It's important to note that the exemption only applies while all tenants are full-time students. If there are non-students living in the property, the bill will go to them. In this case, the non-student tenants may receive a 25% single-person discount on the council tax bill. Additionally, the exemption covers periods when the property is occupied by qualifying students, including holidays such as the summer break.
The process for determining council tax liability can be complex, especially in shared houses with both full-time students and non-students. In some cases, the landlord may be responsible for paying council tax, such as in properties classified as Houses in Multiple Occupation (HMO) or when the property is empty. It is common for landlords to factor the cost of council tax into the rental price in these situations.
While full-time students are generally exempt, there may be exceptions. For instance, students in Northern Ireland are not exempt from paying domestic rates, which replaced council tax in the region. Additionally, students taking time off from their full-time course due to health or family issues may need to pay council tax during that period. It is always advisable to clarify with your local council and seek advice from relevant services if you have any doubts or questions about your specific situation.
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Part-time students must pay council tax
In most cases, full-time students are exempt from paying council tax. However, part-time students are usually required to pay council tax. If a student house is only occupied by full-time students, the property is exempt from council tax. If there is a mix of students and non-students in a property, the students are still exempt, and the bill goes to the non-students.
Part-time students living with full-time students will need to pay their share of the council tax. However, they may be eligible for a discount. For example, if there is only one part-time student in a house of full-time students, they will only need to pay 25% of the council tax bill.
The responsibility to pay the council tax bill depends on whether the property is a House of Multiple Occupancy (HMO). If the property is an HMO, the landlord is responsible for paying the council tax and will usually factor this cost into the rental price. If the property is not an HMO, the tenants are responsible for paying the council tax.
It is important to note that the exemption from council tax for full-time students applies from the day their course begins until the final day of their final term. This includes holiday periods such as the summer break. However, there may be a gap between finishing an undergraduate degree and starting a postgraduate course, during which a student will need to pay council tax.
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Student HMOs and landlords
Student landlords should be aware of the rules surrounding council tax liability before drawing up tenancy agreements. Whether council tax needs to be paid on a property occupied by students and who is responsible for settling the bill depend on several factors.
Full-time students are generally exempt from paying council tax, while part-time students are required to pay it. If a student house is occupied exclusively by full-time students, the property is exempt from council tax. However, if there is a mix of students and non-students, the non-students will be liable for the council tax bill.
In the case of Houses in Multiple Occupation (HMOs), the council tax liability depends on the tenancy agreement. If the students have individual tenancy agreements, the landlord is responsible for paying the council tax and usually factors this cost into the rental price. However, if the students have a joint tenancy agreement for the entire property, they may be held responsible for the council tax.
Landlords should also note that they are liable for council tax during any period the property is empty, even if it is an HMO. It is important to understand the specific circumstances and regulations, as there may be exceptions and variations. For instance, the definition of an HMO for council tax purposes differs from that in the Housing Act 2004. Tenants who believe they are incorrectly classified as living in an HMO can challenge their liability by making a formal complaint to the local authority.
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Non-students in student houses pay the bill
In most cases, full-time students are exempt from paying council tax, while part-time students are required to pay it. If a student house is occupied only by full-time students, the property is exempt from council tax. However, if there is a mix of students and non-students in the house, the non-students will be liable to pay the council tax bill.
Full-time students are considered 'disregarded persons' by the council, meaning the council tax is calculated as if they don't live in the property. This can result in a discount for whoever is liable to pay the council tax. If all the occupants of a house are full-time students except for one non-student, that person will be responsible for paying the bill, but they will receive a single-person discount of 25%.
The responsibility for paying the council tax bill falls on the tenant or the landlord, depending on whether the property is a House of Multiple Occupancy (HMO). If the property is an HMO and the students have individual tenancy agreements, the landlord is responsible for paying the council tax and usually factors this cost into the rental price. If the students have a sole tenancy or a joint tenancy, they will need to arrange to pay the bill themselves.
It is important to note that the rules and exemptions surrounding council tax can be complex and may vary depending on the local council. If a tenant receives a council tax bill that they believe they should not have received, they can write to their local authority and, if necessary, appeal to the Valuation Tribunal Service (VTS).
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Council tax exemption criteria
Households where everyone is a full-time student do not have to pay Council Tax. If you do get a bill, you can apply for an exemption. Student halls of residence are automatically exempt. If your property isn't exempt, some people, including full-time students, are 'disregarded'. This means the council tax is calculated as if you don't live there, and whoever is liable to pay might get a discount.
To qualify as a full-time student, your course must last at least one calendar or academic year, for at least 24 weeks out of the year, and normally involve at least 21 hours of study, tuition, or work experience per week during term time. The local council might ask for proof that you're a full-time student, so you can ask for a certificate from your university or college.
If you have a mix of students and non-students, those not in full-time education will receive the bill. If you share with an employed person or a part-time student, they will probably be liable for 75% of the council tax bill. There is a 25% discount because there is only one eligible adult in the property.
In the case of a house in multiple occupations (HMO), the owner of the property is liable to pay council tax. This usually applies if you live in a shared house, bedsit, or hostel with two or more people who aren't part of the same family.
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Frequently asked questions
Student accommodation is generally exempt from council tax as long as it is occupied by qualifying full-time students.
To qualify as a full-time student, one must be enrolled in a course that lasts at least one calendar or academic year or 24-52 weeks and involves at least 20-24 hours of study per week.
If there is a mix of students and non-students in the house, the students are still exempt from council tax, and the bill goes to the non-students. The non-students may be eligible for a discount, such as a 25% single-person discount.
If the student house is an HMO, the landlord is responsible for paying the council tax if the students have individual tenancy agreements. The landlord usually factors the cost of council tax into the rental price.
If you receive a council tax bill but believe you are exempt, you can apply for an exemption. You may need to provide proof that you are a full-time student, such as a certificate from your university or college.
