I have a case where there are 4 residents in a property. The property is owed by a couple who are both registered as carers. One is working full-time the other claims carers allowance. Their daughter lives with them and is a full-time student and therefore discounted for Council Tax. The other resident is the mother of one of the owners she is on high rate Attendance Allowance and in receipt of Pension Credit (guarantee).

Last year they were allowed a 50% discount on the Council Tax, as three residents were disregarded and the forth was on Pension Credit and high Attendance Allowance. Although the situation has not changed the Local Authority now state the correct discount is 25%. The Council will not recover the 'overpayment' from last year but refuse to award 50% discount. They state there is one person still liable for the council tax, which is the mother but she is on guarantee credit and high rate Attendance Allowance. The Council state she has the allowed 25% discount for her situation.

I have tried looking through literature but come across contradictory case studies on this issue. The Council is prepared to review their decision if I can come up with the legislation to back up my case for the 50% discount. I have found this difficult to track down.

Can anyone assist?

Sorry, but on the facts as you have stated them, 25% discount looks correct, although I would query the liability situation. It seems to me the couple are the liable persons because they own the property and they are the ones getting the discount, surely?

But what about Council Tax Benefit?

Thank you for replying to the message. The couple concerned are unable to claim Council Tax Benefit as they have too much income so will have to pay the 75% of the Council Tax bill. I was just hoping there maybe another way around this predictament. They have now been informed that the 25% discount is correct despite having been granted 50% discount by the Council last year.

Firstly, the mother cannot be liable - the liable persons will be the two joint-owners.

Secondly, is the mother severely mentally impaired? If she is, then she will qualify for a status discount; if she isn't, then she can't attract a discount.

The daughter, as you say, attracts a discount, and if both parents are registered as carers (both presumably looking after the mother) then they get a discount.

So, if all four members of the household are disregarded, then the discount is 50%. However, if the mother isn't severely mentally impaired, then there are only three people disregarded, and the discount will be 25%.

25% discount appears to be correct. Have you considered advising your client to apply for Indirect Council Tax Benefit based on their pensioner mothers income, as it is PC(G) they should qualify for 25% which would take you back to the 50% net bill that you had previously.

Sorry but second adult rebate (which I assume is what you are referring to) won't work for all sorts of reasons - more than one liable person and a discount already awarded. As a general rule a household cannot get a discount AND second adult rebate.

Apologies, I stand corrected had not read it as the mother being cared for.