It’s a tax that you give to your local government so that they can pay for services in your area. This could be anything from getting rid of trash to recycling to getting help with mental health to getting permission to build something, etc.
How much you pay is based on where you live and how much your home is worth. The tax band system was put in place in 1991. These are the bands:
How does the city tax work?
In the UK, every home is put into a council tax band. That range comes from the home’s size, location, and 1991 value. After that, the tax is set at a certain level for each band. Your bill amount can be changed by a few things:
- You tear down a piece of your property.
- You can turn flats into one home or the other way around.
- There have been big changes in your area.
- You work from home less or more.
- Similar homes in your area have had their bands changed.
- If your local tax bill changes, read more about them.
What if I work for myself?
You can get some of your council tax back if you’re self-employed and work from home. Your claim should be based on how many rooms you use for your home-based business and how long you work from home.
How to get your council tax back if you work for yourself
- If you work for yourself, look at this example of how to get your council tax back:
- One of the three places in your apartment is where you do work, like a study.
- If this is the case, you can deduct up to one-third of your local tax from your yearly Income Tax bill.
- The “Home Office Allowance” is another name for HMRC’s simpler spending system. If you work from home more than 25 hours a month, you might want to use it instead.
