Council tax bands are based on the market value of properties as well as the layout and purpose of use of one. Through this blog post, we will learn about the different council tax bands in Perth and Kinross Council in Scotland. Additionally, we will also explore how council tax bands are assigned to properties, who is liable to pay council tax in a multiple-member household and the consequences of not paying council tax on time. 

What Are The Council Tax Bands In Perth And Kinross?

Council tax bands in Perth and Kinross can be classified on the basis of property value and the corresponding rate of the council tax bill as follows:

Council Tax BandValue of PropertyAmount of Council Tax
AUpto £ 27, 000£ 900. 67
B£ 27,000 – £ 35,000£ 1,050. 78
C£ 35,000 – £ 45,000£ 1,200. 89
D£ 45,000 – £ 58, 000£ 1.351. 00
E£ 58, 000 – £ 80, 000£ 1,775. 06
F£ 80, 000 – £ 106, 000£ 2,195. 38
G£ 106, 000 – £ 212, 000£ 2,645. 71
HOver £ 212, 000£ 3,309. 95

Perth and Kinross is a Unitary Authority in Scotland, with around 93,543 residential properties subject to Council Tax. The most common council tax band in Perth and Kinross is Band B; while the average council tax band is D. The average council tax rate charged in Perth and Kinross is £1,204.39.

However, as per recent media reports, there is a 2.5 per cent increase expected in the council tax rates in Perth and Kinross. This means that Band D properties will experience an approximate increase of £ 33 in their council tax bill.

Below are the details of the number of properties in Perth and Kinross according to council tax bands:

Council Tax BandNumber of Properties
A11,443
B19,218
C15,485
D13,962
E15,253
F9,935
G7,495
H752

According to the recent council budget released by authorities, Perth and Kinross Council plan to spend its council’s tax revenue on the following community projects for its residents:

  • £ 14 million to be spent on the construction and maintenance of roads and bridges.
  • £100,000 to be used for additional gully cleaning and road safety measures.
  • £100,000 to be spent on getting children disadvantaged by home learning back on track with their studies in school.
  • £136,000 to be used for apprenticeships for national qualifications through increased staffing at secondary schools.
  • £90,000 to be used for family support for all care experienced people and their families.

How Is Council Tax Calculated?

Once local council offices are informed of a new house being constructed or a new resident moving into their area, they will inform the Valuation Office Agency. The Valuation Office Agency (VOA) initially assesses the market value of properties according to their worth in 1991 (this is a uniform practice across the UK) to assign them a valuation band. If your property has been constructed after 1991, the market value of similar properties at that time will be applied.

While the valuation process takes its due time, the local council authorities assign a council tax number to the owners.

There are eight valuation bands for council tax bills that run across A to H, with Band A assigned to properties with the lowest value and increasing up to Band H for properties with higher values. It is on the basis of this assigned band, that the amount of council tax is decided. Therefore, the higher the valuation band, the higher the council tax payments.

The same bands are applied whether a property is a new build, is being re-assessed after renovations or an extension.

In addition to a property’s value, the Valuation Office Agency considers the following factors when assessing a property for valuation purposes:

  • location
  • size
  • character
  • layout
  • purpose or use

When Does Council Tax Run From?

Council Tax bills are payable from the start of the financial year in April with 10 monthly instalments concluding in January. While councils maintain February and March as tax-free months to collect payments that were not made in time; those liable to pay council tax bills may request their local council for 12-month instalments to make payments convenient by reducing the amount of each instalment.

When Do You Start Paying Council Tax After Buying A House?

You will start paying council tax on Completion Day after buying a house. Although the exchange of property may have taken place much earlier than this, you will not be liable to pay council tax during this time.

The most ideal way to proceed with getting registered for council tax payments is to apply on the council website and mention your Completion Day at least two weeks in advance. However, it also depends on the builder of the property as to the dates indicated regarding completion day and the Valuation Office Agency’s assessment of your property for the council tax band to be assigned.

In certain cases, it may be so that you are paying council tax at your previous house while also paying it for the new house due to overlapping dates during a month. If your council makes provision for a Second Home Discount, you may be able to avail of it on the new house until you move in completely. 

If you need to make renovations to your new house before moving in due to which you will not be able to move in despite Completion Day being marked by the seller, you may be able to get a council tax discount or even exemption until the property is termed as “liveable”. Similarly, if the new house that you are buying has been empty and unfurnished for six months you may be able to get a discount on your council tax bill.

However, if there are council tax arrears on the property, it is the responsibility of the previous owner to clear them before moving out. Even if they do not make these payments after the transfer of the property, the council will chase them for clearance of dues and not the new buyers of the house.

Who Has to Make Council Tax Payments?

Any individual, over the age of 18 years, whether a homeowner or tenant, employed or unemployed, is eligible to pay their council tax bills to the local council office. This is an annual tax; spread across 10 monthly instalments between April and January with February and March considered tax holiday months.

Usually, one person is considered the prime point of contact and the one considered “liable” to pay council tax bills. To qualify for this, the said occupant must be above 18 years of age. Couples sharing premises are jointly liable for their council tax bills; however, anyone of them may be listed to be considered as liable for payments.

In the case of a rented property, it is the tenant who is liable to pay council tax. However, should any of the following situations occur, the liability becomes extended towards the owner:

  • all the occupants are under 18 years of age
  • the occupants are asylum seekers
  • the occupants are multiple households/ couples/ individuals co-sharing the rent and premises
  • the property is a second home or holiday home and the residents have a main home elsewhere
  • the property is a care home or refugee shelter

What Happens If Someone Is Unable To Pay Their Council Tax?

If an individual is struggling to pay their council tax bills, they must contact their local council office immediately. The first convenience extended to such individuals is that the local council may allow them to pay their council tax bill in 12 instalments as compared to the standard 10. This reduces the amount that is due each month; thus reducing the size of each payment.

If this is not a workable solution, the council office may offer the individual a one time discount so that future payments are made easily.

If someone is low on income or receiving other forms of state benefits, they may not be eligible to pay their council tax in full.

However, if someone deliberately fails to make their council tax payments and does not inform the council of their situation, they will be sent a reminder notice to clear their payment within the next 7 days. Failure to do so may impose the full payment of the annual tax on the individual.

Continuing to miss council tax payments may call for legal action from the council’s side as they will be authorised to send a liability order (a legal demand) to clear your unpaid dues. All legal fees incurred for this process will be added to the defaulter’s council tax bill.

As a final resort, the council office can send enforcement agents/bailiffs to seize the property of the defaulting party. If someone does not have a good reason to default on their council tax payments, they may be sent to jail for 3 months. 

Conclusion:

This article outlines the details of how council tax is calculated and applied to different properties in Perth and Kinross. There are around 93,543 residential properties subject to Council Tax in this area; with the most common council tax band being Band B. Meanwhile, the average council tax band is D with  £1,204.39 as the average council tax rate charged in Perth and Kinross.

FAQs: What Are The Council Tax Bands In Perth And Kinross?

What are Scottish council tax bands?

Scottish council bands are classified as follows:

  • Band A for property valued up to £ 27, 000
  • Band B for property valued between £ 27,000 – £ 35,000
  • Band C for property valued between £ 35,000 – £ 45,000
  • Band D for property valued between £ 45,000 – £ 58, 000
  • Band E for property valued between £ 58, 000 – £ 80, 000
  • Band F for property valued between £ 80, 000 – £ 106, 000
  • Band G for property valued between £ 106, 000 – £ 212, 000
  • Band H for property valued above £ 212, 000

Which council has the highest council tax in the UK?

According to statistics,  Rutland, a county in the East Midlands of England, had the highest council tax during the 2021-2022 tax year. Residents here have paid between £1,429 and £4,287 for council tax.

How much is council tax band B in Scotland per month?

Council tax for Band B applies to properties valued between £ 27,000 and £ 35,000 in Scotland. The council tax for this band is currently £ 1,050. 78.

Is band A the highest council tax?

No, band A is the cheapest council tax that applies to properties valued at the lowest possible market rate. The highest council tax rate is H.

How is your Council Tax band calculated in Scotland?

The Valuation Office Agency (VOA) initially assesses the market value of properties according to their worth in 1991 (this is a uniform practice across the UK) to assign them a valuation band. In the meanwhile, the local council authorities assign a council tax number to residents.

References:

Council tax

Perth and Kinross Council

Council tax set to increase by 2.5 per cent in Perth and Kinross – Daily Record

Perth and Kinross budget: Council tax to rise 2.5% but school crossing patrollers saved

Council Tax discounts and exemptions – check if you qualify before your first payment is due

How domestic properties are assessed for Council Tax bands – GOV.UK

Council Tax banding and new build properties

Council Tax: Paying your bill – GOV.UK (www.gov.uk)

Council tax bills can be spread over a year from April (moneysavingexpert.com)

Council Tax After Buying A House | First Time Buyer Help.

When-do-you-start-paying-council-tax-after-buying-a-house

Start paying Council Tax – GOV.UK

Paying council tax – Citizens Advice

Council Tax – GOV.UK (www.gov.uk)

Ways to pay your council tax | Ways to pay your council tax

Council tax: Why do some areas pay more and how can you reduce your bill? | This is Money

Council Tax – Home 

Family spending in the UK – Office for National Statistics (ons.gov.uk)

Check if you can pay less council tax