Taxation plays a very important part in building the economy of a country. The citizens of a country earn and pays taxes of various forms in their day to day life. Contribution in developing their own country’s economy is the key here. There are different types of taxes and property tax is one of them. Property taxes are imposed on the value of the lands, buildings, parking areas, driveways, outdoor lighting, fences etcetera. One of the main property tax is council tax and this taxation system is levied and conducted especially in European countries.
Though paying council tax can be difficult because just like any other taxes it is mandatory to pay the arrears but the difficulty level rises a notch higher when realization strikes that people will have to pay the tax even if they have no property of their own. The moment one starts living in a house or a single room, they are bound to pay council tax. So it is crystal clear that a tenant is equally responsible to pay the council tax just as the landlord unless the landlord agrees to any specific condition applied by the tenant for not contributing to tax payment.
Every citizen must pay taxes and paying council tax is no different. Once it is imposed one must pay his tax. But sometimes it gets really difficult to pay the amount of council tax as council tax arrears quickly builds up if remain unpaid. Once council tax arrears start building up and ones it starts building up there is no way one can pay that much of a huge amount in limited monthly income. So, naturally, people who are low in income or people who are unemployed, for many valid reasons are not able to gather the money to pay the arrears. They must know that there are several legal ways to deduct the tax. But for this, one must immediately contact the council and let them know why their taxes are not being paid. The moment you realize you are no more able to pay your installments, take action and contact the council. Do not delay or else the situation will only worsen. The council will immediately give you the solution and permission for tax reduction. So there is no reason to avoid paying council tax.
Council taxation system is a monthly process. It is a ten-month process or if permitted it can be a twelve-month installment process also. It starts in the month of April and the taxpayers must pay their tax at the beginning of the month. If taxpayers are not paying their installment, the authority is bound to send reminders to them and gradually the reminders might turn into summons. So, there is no escape from paying tax and there should be no way to escape tax payment. Not paying council tax installments results in council tax debts which gradually might result in repossession, home visit, peace entry as well as force entry in the house and court proceedings.
But if the situation goes totally out of hand then IVA process can help to write off the council tax debt. Through IVA aka Individual Voluntary Arrangement, a large portion of council tax debts can be successfully eliminated. But even for that, one needs to convince their council. So, everyone must keep it very clear in his or her mind that come what may, you need to let your council know your issues in paying council tax. The solution to the problem lies there only. But not all council allows you to pay debts through IVF so check out which are the councils that allow paying arrears through IVA.
Before trying to write off the council tax through IVA try every way to reduce your tax. If you are unemployed or of low income then try council tax benefit. If you are a full-time student then contact the council to get a discount and reduce the amount of tax. If you are the only earning person in your whole family even then you can get a discount. So analyze thoroughly right now before building up your tax debt and take the right steps.