Council Tax recovery policy

Council Tax billing

Each March, Kirklees Council issues annual Council Tax bills. If your circumstances change during the year, we'll send an updated bill to reflect your new liability. Bills include monthly instalments, and we offer a range of payment dates and methods to suit your needs.

If payments are made on time, no further action is taken. If a payment is missed or late, we will issue a reminder notice.

You may receive up to three reminders in a financial year:

• Two for missed instalments
• One final reminder

Reminder notices

If you miss or delay a payment, we'll send a first reminder. If you bring your account up to date, your instalment plan will continue unless you've already received two reminders that year. In that case, a final notice will be issued requiring full payment of the remaining annual charge within 7 days.

If no payment is made within 7 days of a reminder, the full year's charge becomes due automatically, and no final notice will be issued.

Final notice

If you miss a third instalment, you'll receive a final notice. This means you've lost the right to pay by instalments and must pay the full remaining balance immediately. If payment is not received, we may issue a court summons.

Summons

If payment is not made following a reminder or final notice, we will apply to the Magistrates' Court to issue a summons. The cost of the summons will be added to your Council Tax account.

The summons requires full payment of the outstanding Council Tax for the year, plus costs, immediately.

• Pay in full before the hearing - No need to attend court; no further action will be taken.
• Set up a payment arrangement before the hearing - You won't need to attend court, but we will request a liability order to secure the debt (explained below).
• Follow the instalment plan included with your summons - You won't need to attend court, and we will still request a liability order. If you stick to the plan, no further recovery action will be taken after the liability order is issued.
• Attend court to dispute the liability order.
• Do nothing - If you don't attend court, a liability order will be granted in your absence.

Liability order hearing

You are not legally required to attend the hearing, but you may do so to dispute the debt or speak to the court.

The magistrates will listen to anyone summoned, but unless a valid legal defence is presented, they must grant a liability order if:

• The council has followed correct procedures.
• You are liable for Council Tax.
• The debt remains unpaid.

Valid defences include:

• The Council Tax was not properly demanded as set out by law.
• The amount summonsed has already been paid.
• You are not liable for the Council Tax.
• More than six years have passed since the bill was issued.
• You are subject to bankruptcy or winding-up proceedings.

Please note:

The following are not valid defences:

• Inability to pay.
• Having a complaint or appeal in progress.
• Awaiting a decision on Council Tax Reduction.
• Appealing your property's valuation band.

If you do not attend court, we will ask the magistrates to grant the liability order in your absence.

Need help?

If you receive a summons, contact Council Tax as soon as possible to discuss your situation. We can offer advice or refer you to appropriate support services.

Liability order

Once a liability order is granted by the Magistrates' Court, Kirklees Council is legally permitted to take further action to recover unpaid Council Tax. If you've already made a payment arrangement and are keeping to it, we won't enforce the Liability order. Otherwise, we'll write to you confirming the order and give you 14 days to either pay in full or agree a payment plan.

The liability order allows us to:

• Request financial information, including your employment and income details.
• Deduct money directly from your wages through an Attachment of Earnings order.
• Deduct money from benefits such as Universal Credit or Pension Credit
• Instruct Enforcement Agents (Bailiffs) to recover the debt.
• Begin bankruptcy or insolvency proceedings.
• Apply for a Charging Order against your property.
• Start committal proceedings, which could result in imprisonment for up to 90 days.

Request for financial information

Alongside the liability order notice, you'll receive a means Enquiry Form. This form asks for details about your income and expenses. You must return it within 14 days. Failure to return the form or providing false information may result in a fine of up to £1,000. We may also proceed with other recovery methods.

You can still contact us to make a payment arrangement at this stage, but you must provide your financial details including income and expenditure. If you do not arrange payment, fail to contact us to discuss any difficulties, or do not pay as agreed, we will take further action to recover the outstanding balance.

Attachment of Earnings Order

If you do not set up a payment arrangement or fail to pay as agreed, and your earnings are sufficient, we may issue an Attachment of Earnings Order to your employer. This means your employer will deduct money directly from your wages.

• Councils cannot have more than two orders in place at any one time. Our policy is to apply for the maximum of two unless the information we hold shows this would cause severe financial hardship.
• You will receive a copy of any order sent to your employer.
• The deduction amount depends on your earnings.
• Your employer may charge an extra £1 per order each time they make a deduction for administration costs.
• Your employer will continue deductions until the debt is paid in full or we instruct them to stop.

Your responsibilities:

• Tell us within two weeks of any changes in your employment.
• Inform us immediately if you pay in full or make any direct payments so we can update your employer.

Deductions from benefits

If you do not make a payment arrangement or fail to pay as agreed, and you receive a deductible benefit, we may issue a Deduction from Benefits Order.

• A set amount can be deducted weekly from benefits such as Universal Credit or Pension Credit. Deductions from Universal Credit may vary.
• You must tell us within two weeks of any changes to your benefit entitlement.

Attachment of allowances (Councillors only)

If a councillor owes Council Tax, up to 40% of their allowances may be deducted to repay the debt. This decision is made in consultation with the Head of Welfare and Exchequer Services.

Enforcement Agents (Bailiffs)

All Enforcement Agents we employ are certified through the county court and follow a national code of conduct. A summary of the fees they charge can be found in Appendix 1.

We will instruct certified Enforcement Agents to recover your debt if:

• You don't return the means enquiry form.
• You break a payment arrangement.
• We cannot recover the debt through wages or benefits and no arrangement is made.

Agents will contact you by letter or phone. If ignored, they may visit your home or business. Visits incur additional fees. Agents will request full payment, including their costs. If you can't pay, they may agree to a payment plan and list items that could be sold if payments are missed this is called a Controlled Goods Agreement.

You cannot sell or move listed items without the agent's permission. If payments are missed, agents may forcibly re-enter your property to remove and sell the goods. Additional fees (e.g., auction costs) will apply.

If you pay Kirklees Council directly without covering agent fees, the agent will continue to pursue those costs. If agents cannot recover the debt or access your property, they will issue a Nulla Bona certificate (meaning "no goods"), and we may consider further action, including committal to prison.

Legal framework

This process is governed by:

• The Tribunals, Courts and Enforcement Act 2007
• The Taking Control of Goods Regulations 2013
• The Taking Control of Goods (Fees) Regulations 2014
• The Certification of Enforcement Agents Regulations 2014
• The Tribunal Courts & Enforcement Act 2007 (Consequential, Transitional & Saving Provision) Order 2014

If previous recovery methods have not resolved the debt, Kirklees Council may consider one of the following final options. These actions are only taken after:

• Confirming your Council Tax liability is correct.
• Checking for any applicable discounts, exemptions, reductions, or benefits.
• Making reasonable efforts to contact you via letter, phone, email, or home visits.
• Providing details of free, independent debt advice services.
• Reviewing your financial situation using:
  • Council records, including payment history.
  • HM Land Registry.
  • Credit reference agencies.
  • Council house sales records.
  • Employment details.
  • Companies house records.

We carefully weigh the cost of these actions against the size of the debt and consider whether they are appropriate based on your circumstances, including:

• As a result of age, mental health, disability, or extensive learning difficulties, you cannot be expected to deal with your own affairs.
• Whether you are a single parent or the main carer for a disabled dependent person.
• Receipt of Council Tax Reduction.
• Any other exceptional circumstances affecting your ability to pay.

We strongly recommend seeking independent legal advice if contacted about any of the following processes.

Insolvency or bankruptcy action

If your total debt exceeds £5,000, we may begin insolvency or bankruptcy proceedings through the county court. This could result in:

• Loss of your home or possessions.
• Significant additional costs.
• Difficulty obtaining credit in the future.

Before taking this step, we will:

Consider the circumstances and vulnerability of the Council Tax payer.

Send a warning letter outlining the consequences.

Issue a statutory Demand if no payment is made.

Allow 18 days to apply to the court to set aside the demand.

Allow 21 days before presenting a bankruptcy petition.

If the petition proceeds, the Official Receiver will take control of your assets.

Charging order

If your debt exceeds £1,000 and you own property, we may apply to the county court for a charging order. This:

• Is similar to a mortgage and affects your credit rating.
• Adds court fees and additional costs to your debt.

If granted, we may:

• Recover the debt when the property is sold.
• Apply to the court to force the sale of your property.

We will only pursue this option if there is sufficient equity in the property.

Committal proceedings

This is a last resort where we ask the Magistrates' Court to consider imprisonment for non-payment.

We may take this step if:

• Enforcement Agents cannot recover the debt.
• Other recovery options are unsuitable.
• You have not responded to previous contact.

You will be summoned to a committal hearing, where the court will assess:

• Whether you wilfully refused to pay.
• Whether you showed culpable neglect in dealing with the debt.

Outcomes may include:

• A prison sentence of up to 90 days (which may be suspended with a payment plan).
• Partial or full write-off of the debt if the court finds no wilful refusal or neglect.

If you fail to attend:

• A warrant for your arrest with bail may be issued.
• If you fail to appear again, a warrant without bail may be issued, and you will be taken into police custody or straight to the Magistrates Court.