Exercising discretion when applying to the court for a Council Tax Liability Order

The request was successful.

Dear Ceredigion Council,

The Council Tax (Administration and Enforcement) Regulations 1992 (the "Regulations") confer a duty on the billing authority to exercise discretion under regulation 34(1) when deciding whether to institute a complaint to the Magistrates' court to enforce payment.

Regulation 34(1) as amended by Regulation 15 of SI 1992/3008 states, with the relevant part emphasised, as follows:

"If an amount which has fallen due under paragraph (3) or (4) of regulation 23 (including those paragraphs as applied as mentioned in regulation 28A(2)) is wholly or partly unpaid, or (in a case where a final notice is required under regulation 33) the amount stated in the final notice is wholly or partly unpaid at the expiry of the period of 7 days beginning with the day on which the notice was issued, THE BILLING AUTHORITY MAY, in accordance with paragraph (2), apply to a magistrates' court for an order against the person by whom it is payable."

Regulation 34(2) states as follows:

"The application is to be instituted by making complaint to a justice of the peace, and requesting the issue of a summons directed to that person to appear before the court to show why he has not paid the sum which is outstanding."

The following are examples (but by no means exhaustive) of what are reasonable factors a recovery officer should take into account in exercising discretion to institute a complaint to the Magistrates court under paragraph (2) of regulation 34 of the Regulations:

1. the level of debt outstanding

2. any payments made subsequent to the full amount becoming due and time remaining of the financial year

3. are circumstances indicative of the debt being settled without resorting to enforcement

4. consider if enforcing the debt would unnecessarily subject the taxpayer to additional costs etc. and therefore amount to a penalty (see 3 above)

5. ensure monies have been prioritised to maintaining the in-year debt

6. allocate to the in-year any monies posted to arrears (or sufficient of it) that would if it had not been misallocated prevented the in-year liability also falling in arrears (see 5 above)

7. check for benefit claims or appeals already in the system and refrain from taking enforcement action where such genuine cases are unresolved

Q1. Does Ceredigion Council exercise discretion before proceeding under regulation 34(2) of the Council Tax (Administration and Enforcement) Regulations 1992 to request a summons from a justice of the peace (it may be an automated process)

Q2. If yes to (1) what factors are taken into consideration

Yours faithfully,

Helen Barker

Ceredigion CE Freedom Of Information, Ceredigion County Council

Diolch am eich neges e-bost a fydd yn cael sylw gan y swyddog cyswllt
priodol maes o law.

 

Thank you for your e-mail communication which will receive attention from
the appropriate link officer

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

Ceredigion CE Freedom Of Information, Ceredigion County Council

3 Attachments

Dear Helen Barker,

 

Thank you for your e-mail dated 24^th April 2020.

 

The content of your e-mail forms a request under the Freedom of
Information Act 2000 and Ceredigion County Council has a timeframe of 20
working days in which to respond, which is on or before 26^th May 2020.  

 

Please note that whilst we will make every effort to comply with the above
timescale, there may be a delay in providing you with a response as the
Council concentrates on making sure that vital services are available to
those residents who need them the most.  Our first priority continues to
be the health and well-being of the general public and as such the Council
will primarily be concentrating on critical frontline services.  Thank you
for your patience during this time.

 

Yours sincerely,

FOI Team

 

Tîm Cwynion a Rhyddid Gwybodaeth

Complaints & Freedom of Information Team 

Cyngor Sir Ceredigion County Council

Canolfan Rheidol
Rhodfa Padarn
Llanbadarn Fawr
Aberystwyth
Ceredigion
SY23 3UE

 

01545 574151

 

Cwynion / Complaints

[1][email address].cymru  / [2][email address]

 

Rhyddid Gwybodaeth / Freedom of Information

[3][email address].cymru  /  [4][Ceredigion County Council request email]

 

[5]www.ceredigion.gov.uk

 

[6]CCCCrestColourTextRightRasterPNG Bach  [7]CC Environment P(RGB) Cropped
(3)  

 

[8]cid:image005.png@01D34C17.0D8B5430

 

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

References

Visible links
1. mailto:[email address].cymru
2. mailto:[email address]
3. mailto:[email address].cymru
4. mailto:[Ceredigion County Council request email]
5. http://www.ceredigion.gov.uk/
6. http://www.ceredigion.gov.uk/
7. http://www.ceredigion.gov.uk/preswyliwr/...

Ceredigion CE Freedom Of Information, Ceredigion County Council

3 Attachments

Dear Helen Barker,

 

Thank you for your Freedom of Information request dated 24^th April 2020.

 

The information you have requested is as follows:

 

The Council Tax (Administration and Enforcement) Regulations 1992 (the
"Regulations") confer a duty on the billing authority to exercise
discretion under regulation 34(1) when deciding whether to institute a
complaint to the Magistrates' court to enforce payment.

 

Regulation 34(1) as amended by Regulation 15 of SI 1992/3008 states, with
the relevant part emphasised, as follows:

 

"If an amount which has fallen due under paragraph (3) or (4) of
regulation 23 (including those paragraphs as applied as mentioned in
regulation 28A(2)) is wholly or partly unpaid, or (in a case where a final
notice is required under regulation 33) the amount stated in the final
notice is wholly or partly unpaid at the expiry of the period of 7 days
beginning with the day on which the notice was issued, THE BILLING
AUTHORITY MAY, in accordance with paragraph (2), apply to a magistrates'
court for an order against the person by whom it is payable."

 

Regulation 34(2) states as follows:

 

"The application is to be instituted by making complaint to a justice of
the peace, and requesting the issue of a summons directed to that person
to appear before the court to show why he has not paid the sum which is
outstanding."

 

The following are examples (but by no means exhaustive) of what are
reasonable factors a recovery officer should take into account in
exercising discretion to institute a complaint to the Magistrates court
under paragraph (2) of regulation 34 of the Regulations:

 

1. the level of debt outstanding

 

2. any payments made subsequent to the full amount becoming due and time
remaining of the financial year

 

3. are circumstances indicative of the debt being settled without
resorting to enforcement

 

4. consider if enforcing the debt would unnecessarily subject the taxpayer
to additional costs etc. and therefore amount to a penalty (see 3 above)

 

5. ensure monies have been prioritised to maintaining the in-year debt

 

6. allocate to the in-year any monies posted to arrears (or sufficient of
it) that would if it had not been misallocated prevented the in-year
liability also falling in arrears (see 5 above)

 

7. check for benefit claims or appeals already in the system and refrain
from taking enforcement action where such genuine cases are unresolved

 

Q1. Does Ceredigion Council exercise discretion before proceeding under
regulation 34(2) of the Council Tax (Administration and Enforcement)
Regulations 1992 to request a summons from a justice of the peace (it may
be an automated process)

 

Q2. If yes to (1) what factors are taken into consideration

 

The main factors Ceredigion County Council take into consideration are 1,
3, 5 and 7 but not exclusively, overall all factors are considered.

 

We hope that this information will be of assistance, but if you have any
complaints in relation to this FOI response the Council operates an
internal appeals procedure. If you wish to utilise this procedure please
write to Mr Alun Williams, Corporate Lead Officer for Policy and
Performance, Cyngor Sir Ceredigion County Council, Neuadd Cyngor
Ceredigion, Penmorfa, Aberaeron, Ceredigion, SA46 0PA or via email through
[1][Ceredigion County Council request email] within 40 working days of the date of this
response.

 

Should you have any queries regarding the above response please do not
hesitate to contact us.

 

Yours sincerely,

FOI Team

 

Tîm Cwynion a Rhyddid Gwybodaeth

Complaints & Freedom of Information Team 

Cyngor Sir Ceredigion County Council

Canolfan Rheidol
Rhodfa Padarn
Llanbadarn Fawr
Aberystwyth
Ceredigion
SY23 3UE

 

01545 574151

 

Cwynion / Complaints

[2][email address].cymru  / [3][email address]

 

Rhyddid Gwybodaeth / Freedom of Information

[4][email address].cymru  /  [5][Ceredigion County Council request email]

 

[6]www.ceredigion.gov.uk

 

[7]CCCCrestColourTextRightRasterPNG Bach  [8]CC Environment P(RGB) Cropped
(3)  

 

[9]cid:image005.png@01D34C17.0D8B5430

 

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

References

Visible links
1. mailto:[Ceredigion County Council request email]
2. mailto:[email address].cymru
3. mailto:[email address]
4. mailto:[email address].cymru
5. mailto:[Ceredigion County Council request email]
6. http://www.ceredigion.gov.uk/
7. http://www.ceredigion.gov.uk/
8. http://www.ceredigion.gov.uk/preswyliwr/...

Dear Ceredigion CE Freedom Of Information,

On a related matter, I would like it clarifying what the council's procedure is regarding recovery. For example, I would like to know the amount of costs charged and when they're applied etc., and whether an arrangement is possible before/after the summons stage and whether this avoids costs/proceeding to liability order. Also whether an arrangement is possible after a liability order has been obtained. I have been unable to find this specific information on the council's website.

Yours sincerely,

Helen Barker

Ceredigion CE Freedom Of Information, Ceredigion County Council

Diolch am eich neges e-bost a fydd yn cael sylw gan y swyddog cyswllt
priodol maes o law.

 

Thank you for your e-mail communication which will receive attention from
the appropriate link officer

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

Ceredigion CE Freedom Of Information, Ceredigion County Council

4 Attachments

Dear Helen Barker,

 

Thank you for your e-mail dated 14^th August 2020.

 

The information you have requested is as follows:

 

On a related matter, I would like it clarifying what the council's
procedure is regarding recovery. For example, I would like to know the
amount of costs charged and when they're applied etc., and whether an
arrangement is possible before/after the summons stage and whether this
avoids costs/proceeding to liability order. Also whether an arrangement is
possible after a liability order has been obtained. I have been unable to
find this specific information on the council's website.

 

Costs charged:         Issuing of summons £40.00. Raised when summons
issued.

Liability Order granted £30.00 plus justices costs 0.50p Raised on the
court date the Liability Order is granted.

 

Arrangements can be made before and after summons stage. The issue of
costs is decided on an individual case by case basis.

 

Arrangements can also be made after a Liability Order has been granted.

 

 

We hope that the above information will be of assistance, however if you
have any queries please do not hesitate to contact us.

 

Yours sincerely,

FOI Team

 

Tîm Cwynion a Rhyddid Gwybodaeth

Complaints & Freedom of Information Team 

Cyngor Sir Ceredigion County Council

Canolfan Rheidol
Rhodfa Padarn
Llanbadarn Fawr
Aberystwyth
Ceredigion
SY23 3UE

 

01545 574151

 

Cwynion / Complaints

[1][email address].cymru  / [2][email address]

 

Rhyddid Gwybodaeth / Freedom of Information

[3][email address].cymru  /  [4][Ceredigion County Council request email]

 

[5]www.ceredigion.gov.uk

 

[6]CCCCrestColourTextRightRasterPNG Bach  [7]CC Environment P(RGB) Cropped
(3)  

 

[8]cid:image005.png@01D34C17.0D8B5430

 

[9]cid:image003.png@01D65535.D676DCF0

 

 

 

 

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

References

Visible links
1. mailto:[email address].cymru
2. mailto:[email address]
3. mailto:[email address].cymru
4. mailto:[Ceredigion County Council request email]
5. http://www.ceredigion.gov.uk/
6. http://www.ceredigion.gov.uk/
7. http://www.ceredigion.gov.uk/preswyliwr/...

Dear Ceredigion CE Freedom Of Information,

My understanding is that the law restricts Welsh local authorities to charge a maximum £70.00 Council Tax liability court costs. You have stated that that Ceredigion Council charges £70.50 in total.

Can you please throw some light on this.

Yours sincerely,

Helen Barker

Ceredigion CE Freedom Of Information, Ceredigion County Council

Diolch am eich neges e-bost a fydd yn cael sylw gan y swyddog cyswllt
priodol maes o law.

 

Thank you for your e-mail communication which will receive attention from
the appropriate link officer

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

Ceredigion CE Freedom Of Information, Ceredigion County Council

4 Attachments

Dear Helen Barker,

 

Thank you for your e-mail dated 5^th September 2020.

 

The information you have requested is as follows:

 

My understanding is that the law restricts Welsh local authorities to
charge a maximum £70.00 Council Tax liability court costs.  You have
stated that that Ceredigion Council charges £70.50 in total.

The costs for Ceredigion County Council are £70.00 and the Justice Costs
are 50p.

 

We hope that the above information will be of assistance.

 

Yours sincerely,

FOI Team

 

Tîm Cwynion a Rhyddid Gwybodaeth

Complaints & Freedom of Information Team 

Cyngor Sir Ceredigion County Council

Canolfan Rheidol
Rhodfa Padarn
Llanbadarn Fawr
Aberystwyth
Ceredigion
SY23 3UE

 

01545 574151

 

Cwynion / Complaints

[1][email address].cymru  / [2][email address]

 

Rhyddid Gwybodaeth / Freedom of Information

[3][email address].cymru  /  [4][Ceredigion County Council request email]

 

[5]www.ceredigion.gov.uk

 

[6]CCCCrestColourTextRightRasterPNG Bach  [7]CC Environment P(RGB) Cropped
(3)  

 

[8]cid:image005.png@01D34C17.0D8B5430

 

[9]cid:image003.png@01D65535.D676DCF0

 

 

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.

References

Visible links
1. mailto:[email address].cymru
2. mailto:[email address]
3. mailto:[email address].cymru
4. mailto:[Ceredigion County Council request email]
5. http://www.ceredigion.gov.uk/
6. http://www.ceredigion.gov.uk/
7. http://www.ceredigion.gov.uk/preswyliwr/...

Dear Ceredigion CE Freedom Of Information,

Thank you for clarifying your response.

Since I submitted my request a number of anomalies have come to light regarding the enforcement procedure in the area concerned. However, I do not wish to pursue this, though the council might want to reconsider its actions regarding the recovery of Council Tax in light of the issues. Note later on under the heading 'NO LEGAL BASIS TO PURSUE LIABILITY ORDER ONCE AN AMOUNT AGREED' the point discussed is not a discretionary matter. I suggest this and the other points raised are considered by the Monitoring Officer, but that is of course a matter for the council.

It does not constitute discretion if a decision of whether to apply it or not depends on being prompted by the customer, parameters being agreed in advance relating to the outstanding monetary value of a customer's account or other information that can be input so the council tax processing system can detect it when running the complaint list. Discretion could only be appropriately applied at a stage when the summons is normally requested, i.e. when all the relevant circumstances are known about the customer's account at that particular time.

Information obtained indicates that discretion is not exercised at the point where a decision is needed to be made about whether to request a summons. Discretion is applied earlier than this, after a summons has been issued but before a liability order is obtained and after a liability order has been obtained, primarily to make payment arrangements which need to be monitored after the debt is secured by a liability order. The actual process of running the complaint list and the summonses is automated for which the defendant incurs disproportionate costs.

It is apparent from information obtained that the defendant incurs a £40.00 sum in respect of the council requesting the issue of a summons (an automated procedure). However, that sum actually covers the council's additional expenditure in respect of sending out reminders and officer time engaging with customers who query their accounts at this point. Also the same for final notices (see below) and after a summons has been issued in respect of customers who query their accounts to arrange payment plans which are conditioned upon the council obtaining a Liability Order (to secure the debt). A total £70.50 court costs are added comprising summons costs of £40.00 plus a further £30.50 for the Liability Order. The £30.50 sum is added to the £40.00 costs already incurred for the request of the summons in respect of the accounts of all customers who have not paid the total amount outstanding of their liability before the court hearing, whether or not they take advantage of the pre-arranged payment plan. This is to compensate the council for the officer time attributed to making the application for a Liability Order (on day of the hearing).

Before the summons stage (final notice), a customer will be able to avoid summons costs, for example, a taxpayer who has lost her right to pay by instalments may have them effectively re-instated if she manages to agree a payment arrangement. Discretion whether to enter into a payment agreement with a taxpayer is applied again once the council has obtained a liability order (as an alternative to taking recovery action) but by that time she would have had the total £70.50 court costs added to the debt and included in the payment plan.

So the costs in reality cover the council's expenditure (additional to the issue of the summons) attributable to before the summons is requested, both after the summons is requested but before the liability order application and after the liability order has been obtained in respect of officer time engaging with customers who agree to enter into payment arrangements. The costs must therefore with absolute certainty cover the general administration of the council tax and enforcement departments.

Additionally the fee paid to HMCTS which is incorporated into the summons cost was reduced a year or two ago. The £3.00 fee was reduced by £2.50 to £0.50 after a detailed review had been carried out by the Ministry of Justice (it identified that the court were making a profit). However, the costs recharged to the customer didn't reflect the council's reduction in expenditure, in fact the total costs are £70.50 when they are restricted in law to £70.00.

RELEVANT LEGISLATION AND CASE LAW

I understand that the council must adhere to the Council Tax (Administration and Enforcement) Regulations 1992 and also be mindful of all established case law regarding the area concerned.

I am aware of a number of cases but particularly three which I would like to refer to regarding your response namely R (Nicolson) v Tottenham Magistrates [2015] EWHC 1252 (Admin); Regina v Highgate Justices ex parte Petrou [1954] 1 ALL ER 406 and Williams v East Northamptonshire [2016] EWHC 470 (Admin).

Regina v Highgate Justices ex parte Petrou [1954] 1 ALL ER 406

It is implicit in the Council's response that the liability order application process is exploited as a means of encouraging a change in behaviour because of the suggestion that a customer's circumstances/ payment history can influence a decision whether or not to allow the outstanding amount to be paid by instalments when the entitlement to has been lost. Presumably a customer whose payments are usually made on time will be given favourable consideration regarding a decision to allow them to continue with instalments (potentially avoiding enforcement and costs). A decision like this in these particular cases suggests that pursuing court action would not be the proper use of discretion because the circumstances indicate that the debt would be settled without resorting to enforcement. However, in a wider sense, because of the discrimination generally between customers who are considered prompt payers and those who are not, the decision to enforce regardless of whether it is necessary in respect of the latter suggests that the enforcement process is exploited for an improper purpose, i.e. to penalise the customer with the costs of enforcement.

It is likely that the council would prefer not to have to pursue payment by the various recovery methods permitted by the liability order because it would be more convenient and cause less administration not to and in any event, the chances of the whole amount being recovered would be greater (and quicker) if Enforcement Agents acting for the Council were not first having to be paid their enforcement fees. Whether the recovery action is pursued and costs imposed hinges on how the customer engages with the council and the type of debtor the council perceives the customer to be who has defaulted on payment. Pursuing recovery in some cases but not others suggests that rather than enforcement being necessary and the most appropriate course of action in every case, the costs of the court application are exploited to act as a penalty.

The law makes no provision for one party wishing to make use of the court to do so in order to inflict a penalty on the other by way of the costs which the court may order against the defendant. The judgment in the Highgate Justices case held that costs should not exceed the proper expenditure incurred and should not be a penalty. If the council requires further powers to enforce the debt, the court's permission must first be obtained, so the costs are incurred as a consequence, rather than the purpose of the application. Local authorities which exploit the judicial procedure to act as a deterrent in a way that penalises the defendant or to act as a threat to encourage prompt payment are doing so for an improper purpose.

Williams v East Northamptonshire [2016] EWHC 470 (Admin)

The Council has advised that the costs charged for serving the summons are £40.00 and raised when summons is issued. I am making the assumption that the costs are actually added to the customer's account at this point because it is generally the approach taken by local authorities.

I am aware that in the East Northamptonshire case, the judgment went to some lengths to clarify the position with regard to when, i.e. at what stage it was permissible for a billing authority to add summons costs to a customer's account. In essence, what the judgment determined was that it was entirely lawful for the billing authority to inform the customer by stating on the summons the amount of costs it would ask for in the event it proceeded to make the application at court for a Liability Order. Implicit in this is that it is impermissible to add to the customers account at this point the costs claimed by the billing authority because there is only any legal basis to do so once the court has granted the Liability Order. The following in paragraph 28 of the judgment bears this out:

"...I have come to the clear conclusion that the summons is not an abuse of the process or otherwise invalid by reason of the fact that it includes reference to a claim for costs. The heading of the summons makes clear it seeks recovery of the Council Tax only. The complaint is therefore only as to the non payment of the Council Tax. The tax due is the Council Tax which is separately identified both on the first page and on the subsequent page. It is abundantly clear that the subject matter of the summons is therefore the recipient’s liability for the Council Tax...."

NO LEGAL BASIS TO PURSUE LIABILITY ORDER ONCE AN AMOUNT AGREED

From reading between the lines, when a summons is issued, but before the Court hearing, it is possible to agree a payment arrangement but on the basis that the court will still be asked to grant a Liability Order (to secure the debt) and the payment plan will usually include the costs incurred in obtaining the Liability Order (£40.00 summons and £30.50 liability order).

These costs are incurred at a point after the customer has tendered payment. Therefore, the cost attributable to this activity could not lawfully be included in the costs claimed because expenditure may only be recharged that has been incurred by the authority up to the time of the payment or tender and clearly resources called upon by engaging staff in the matter would occur after payment was tendered. Expenditure incurred by the authority after that point falls on the wrong side of line to be referable to the summons and would only be lawfully recharged (if eligible) in respect of those who had not paid or tendered to the authority the aggregate of the outstanding amount and costs before the court hearing because only those customers may be proceeded against further and incur additional costs.

To be clear, it is not just the costs in these circumstances which are artificially inflated by either front loading or being charged where there is no legal basis at all which is a point of contention. The consequences are that for all those cases against whom the council proceeds in order to secure the debt once an amount has been agreed (the payment arrangement), the action is unlawful because regulation 34 of SI 1992/613 provides that the authority shall accept the amount and the application shall not be proceeded with in these circumstances.

Paragraph 34(5) of the regulations, are as follows (with emphasis):

“(5) If, after a summons has been issued in accordance with paragraph (2) but before the application is heard, there is paid or TENDERED to the authority an amount equal to the aggregate of—

(a) the sum specified in the summons as the sum outstanding or so much of it as remains outstanding (as the case may be); and

(b) a sum of an amount equal to the costs reasonably incurred by the authority in connection with the application UP TO THE TIME OF THE payment or TENDER,

the authority shall accept the amount and the application shall not be proceeded with.”

The authority could not defend its actions on the grounds that an arrangement does not constitute payment therefore it is entitled to obtain a liability order to secure the debt because the law does not say that the amount must be paid for the application not to be proceeded with, only that the amount tendered is accepted (the aggregate of the outstanding amount and costs). By agreeing a payment plan which encompasses the outstanding amount and costs (costs which are properly referable to the enforcement process) the authority has accepted the amount and so there is no legal basis to proceed to obtain a liability order from the Magistrates' court.

Notwithstanding the lack of provision to proceed once the aggregate of the outstanding amount and costs has been agreed by the council, even if it were permissible, these costs and any other incurred would have further criteria to meet for the court to be satisfied that they were reasonably incurred.

R (Nicolson) v Tottenham Magistrates [2015] EWHC 1252 (Admin)

The Tottenham case provides in the judgment some general guidance regarding Council Tax Liability Order court costs and give clues (paragraphs 35 and 46) as to what should not be included in the costs and an approach that might be legitimate in respect of averaging the costs.

“It is clear that there must be a sufficient link between the costs in question and the process of obtaining the liability order. It would obviously be impermissible (for example) to include in the costs claimed any element referable to the costs of executing the order after it was obtained, or to the overall administration of council tax in the area concerned.” (Paragraph 35)

"In principle, therefore, provided that the right types of costs and expenses are taken into account, and provided that due consideration is given to the dangers of double-counting, or of artificial inflation of costs, it may be a legitimate approach for a local authority to calculate and aggregate the relevant costs it has incurred in the previous year, and divide that up by the previous (or anticipated) number of summonses over twelve months so as to provide an average figure which could be levied across the board in "standard" cases.." (Paragraph 46)

However, the above does not go so far as to specify what the right types of costs and expenses are, plus the 1992 Council Tax Regulations (and associated guidance) also apply so any provisions in those capable of establishing what are "relevant costs" need taking into account. Crucially, the possibility that the approach of averaging the costs is conditional upon the right types of costs and expenses being taken into account and being mindful of the dangers of artificially inflating the costs.

Government guidance from 1993 and 2013 both provide within them that "the Court may wish to be satisfied that the amount claimed by way of costs in any individual case is no more than that reasonably incurred by the authority". They do so because the court is obliged to hear individually anyone wishing to raise a defence and regulation 35(1) of the Regulations provides that a single liability order may deal with one person and one amount.

The streamlining of the process, i.e. by hearing cases of all the defendants in a bulk application who decline the invitation to defend themselves would if the law was properly applied be met with a forfeiture of costs income because only expenditure which is common to every defendant may lawfully be included in a standard sum. For example, even if expenditure attributable to engaging with customers agreeing payment arrangements was not impermissible for the reasons discussed, they would not otherwise be deemed "relevant costs" to be included in the calculation because the expenditure is not common to every defendant but also because it would be impermissible to include in the costs any element referable to the overall administration of council tax in the area concerned (para 35, Tottenham judgment).

There is also the anomaly that the customers who to the greatest degree drive the level of activity are ironically avoiding the recovery process and not incurring any costs. These are generally those customers who have negotiated their instalments being re-instated, whilst customers who settle their debt without causing additional work are left subsidising this expenditure when bizarrely none is incurred in connection with their summonses.

Expanding further on the concept of "reasonably incurred". If the costs are to be recharged lawfully to the customer it must have been reasonable for the council to have incurred them. Any expenditure recharged to the customer in respect of costs has not been reasonably incurred which is attributable to activity carried out by the council above what is necessary to secure the court order. Obtaining the order is merely a formality and it functions simply as the vehicle empowering the council to make use of a range of enforcement measures to pursue monies owed should it be necessary once it is in place, so with that in mind and that applications are made en masse, then the vast majority of costs typically claimed by local authorities are not necessary in a process which amounts to no more than seeking permission from the court.

Expenditure attributable to work carried out, which is clearly by its nature referable to the overall administration (in the area of council tax concerned) would not by virtue of it coinciding with when the complaint is in progress be sufficient to link it to the actual process of obtaining the liability order. This is separable from any that is permissible to be included in the costs claimed and would need omitting from the calculation because it would not be reasonable to expect those paying them to subsidise general administration or to be exploited as a means of funding revenues/recovery staff - and - because it is not common to every defendant.

It is generally accepted by billing authorities that defences against the issue of a Liability Order at the court hearing which are considered to be valid are restricted to no more than a handful. However, there are nine obvious additional defences that would be valid if no discretion is exercised prior to requesting the issue of a summons, expenditure incurred by the council outside the process of applying for and obtaining a liability order is included in those costs and a decision to charge costs can depend on whether the council wants them to act as a penalty. They would be that;

1. the billing authority has not (does not) comply with regulation 34(1) of the Council Tax (Administration and Enforcement) Regulations 1992;

2. expenditure amounting to £40.00 was not incurred by the council in respect of instituting the complaint;

3. the costs have been inflated to subsidise customers who opt to make payment in line with the pre-arranged payment plans;

4. the costs in respect of instituting the summons include expenditure which is incurred by the council after that action;

5. decisions whether to enforce (and impose costs) which hinge on the type of debtor the council perceives the customer to be who has defaulted on payment is evidence that the enforcement process is exploited for an improper purpose, i.e. to encourage behaviour (a penalty), see Regina v Highgate Justices ex parte Petrou;

6. the costs have been inflated to subsidise expenditure incurred by the council in respect of potential applications to the court but which are not made by virtue of negotiations that have taken place to reinstate instalments;

7. the costs have been inflated specifically by an amount equal to the reduction of the fee payable to HMCTS for each application;

8. the costs in general have been inflated to subsidise expenditure incurred by the council in respect of officer time monitoring arrangements and/or engaging with customers after the process of applying for and obtaining the liability order has ended; and

9. the costs in general have been inflated to fund the running of the council tax and enforcement departments and/or the overall administration of council tax in the area concerned.

Yours sincerely,

Helen Barker

Ceredigion CE Freedom Of Information, Ceredigion County Council

Diolch am eich neges e-bost a fydd yn cael sylw gan y swyddog cyswllt
priodol maes o law.

 

Thank you for your e-mail communication which will receive attention from
the appropriate link officer

 

--

Rydym yn croesawu gohebiaeth yn Gymraeg a Saesneg. Cewch ateb Cymraeg i
bob gohebiaeth Gymraeg ac ateb Saesneg i bob gohebiaeth Saesneg. Ni fydd
gohebu yn Gymraeg yn arwain at oedi.

Ymwadiad:

Er y cymerir pob gofal posib i sicrhau cywirdeb unrhyw wybodaeth a chyngor
a roddir yn yr ohebiaeth hon, ni dderbynnir atebolrwydd am unrhyw
golledion a all godi o unrhyw gamgymeriadau sy'n gynwysedig ac fe'ch
atgoffir o'r angen i chi ofyn am gyngor proffesiynol eich hun.

Bwriedir y neges ebost hon, ac unrhyw atodiadau iddi, at sylw'r person(au)
y'i danfonwyd atynt yn unig. Os nad chi yw'r derbynnydd y cyfeiriwyd y
neges hon ato ef neu hi, neu'r person sydd gyfrifol am drosglwyddo'r neges
hon iddo ef neu hi, mi ddylech hysbysu'r anfonwr ar eich union. Oni bai
mai chi yw'r person neu gynrychiolydd y person y cyfeiriwyd y neges hon at
ef neu hi nid ydych wedi eich awdurdodi i, ac ni ddylech chi, ddarllen,
copio, dosbarthu, defnyddio na chadw'r neges hon nac unrhyw gyfran ohoni.

O dan y Ddeddf Amddiffyn Data 1998 a Deddf Rhyddid Gwybodaeth 2000 gellir
datgelu cynnwys y negest ebost hon.

We welcome correspondence in Welsh and English. Correspondence received in
Welsh will be answered in Welsh and correspondence in English will be
answered in English. Corresponding in Welsh will not involve any delay.

Disclaimer:

While reasonable care is taken to ensure the correctness of any
information and advice given in this correspondence no liability is
accepted for losses arising from any errors contained in it and you are
reminded of the need to obtain your own professional advice.

The information in this email and any attachments is intended solely for
the attention and use of the named addressee(s). If you are not the
intended recipient, or person responsible for delivering this information
to the intended recipient, please notify the sender immediately. Unless
you are the intended recipient or his/her representative you are not
authorised to, and must not, read, copy, distribute, use or retain this
message or any part of it.

Under the Data Protection Act 1998 and the Freedom of Information Act 2000
the contents of this email may be disclosed.