There are many reasons why you may be owed council tax money from your local authority
Council tax rebates of up to £100 may be due to households nationwide. The disclosure follows The Sun's Freedom of Information (FOI) request, which found that more than three million homeowners in the UK may owe £544 million in council tax refunds alone. Similarly, according to MoneySavingExpert's FOI, 349 local authorities in England, Scotland, and Wales owe £141 million in council tax refunds.
If it turns out that you have been overpaying for a long time, you are usually eligible for a council tax refund. This typically happens when the incorrect council tax band is assigned to your property.
You may also be owed money from council tax due to forgetting to cancelling a payment on a property that you no longer live in or, in the case that you pay for your council tax in advance, that your account has been closed prior to the date it was fully paid up to.
Council tax bands
It's crucial to remember that these bands are based on the property's value as of April 1, 1991, not its current value. So, if you want to check if your property is in the correct band, you'll need to find out what it was worth in 1991.
You can do this by looking up the property on websites like Rightmove and Zoopla, or by comparing your tax band with a neighbour's similar property. If you believe your home is in the incorrect tax band, you can contact the Valuation Office Agency (VAO) and explain your reasoning.
If it turns out that you have been overpaying your council tax due to this issue, you could be entitled to a substantial refund. The following council tax bands apply to a property's value:
Band A - Up to £40,000
Band B - Between £40,001 and £52,000
Band C - Between £52,001 and £68,000
Band D - Between £68,001 and £88,000
Band E - Between £88,001 and £120,000
Band F - Between £120,001 and £160,000
Band G - Between £160,001 and £320,000
Band H - Over £320,000
How to make a claim for a council tax repayment
There are a couple of ways available to claim a refund on your tax, but some options may not be available for all councils. Firstly, you can check to see if your council already has a form available on its respective website.
In order to see if this form is available, head to the government's local authority search tool and enter the relevant postcode. You will then be provided information on the council in charge of that postcode as well as a link to the relevant council's website.
However, if you are unable to find a form specifically for reclaiming council tax, you will have to reach out to the relevant council directly. You can use the above government checker to find the council's contact details including email and phone number.