If you are a landlord renting out a property the responsibility for paying the Council Tax bill depends on what sort of letting arrangement you have.
Usually the tenants pay the Council Tax but, in some cases, the owner or landlord will pay the Council Tax bill even though there are tenants living there.
These are normally multi-let properties often called Houses in Multiple Occupation (HMO’s) but it can also include the following letting arrangements.
- the property is let on a multi-tenancy basis rather than a single tenancy
- the rent agreed was in respect of a room (or part) of the property only
- tenants sharing a property don’t have a tenancy for the same period
- the tenancy agreement states an individual rent each rather than a collective rent (where there is more than one occupant)
- alterations or modifications to the property allow for multi-letting
This type of letting arrangement means the owner or landlord pays the Council Tax bill rather than the tenants.
These arrangements are known as ‘Houses in Multiple Occupation’ (such as bedsit type property) but can include any property let on a room by room basis or multi-tenancy basis.