Over 500,000 risk debt caused by council tax

More than half a million (543,373) homes are listed in the wrong council tax band, despite the tax inspectors knowing for at least 3 years.

These homes have been given the CL26 code, which indicates that "correction of inaccuracy on the council tax list" is required. This means that thousands could have been overpaying, which may lead to financial problems.

However, many of the owners have not been informed and the Valuation Office Agency has ruled out further investigation, meaning many more could fall into debt caused by being over-taxed.

The errors are only usually corrected when a house is valued before it is sold.

Kevin Still, director of Atlantic Finance says: "It is important to check that you are correctly banded and if you are one of the CL26 codes then look at getting the code corrected and potentially a refund on any over payments.

"Council tax is a priority payment and the consequence of missed payments can be severe. Atlantic prioritise the repayment of any council tax debts as part of setting up a debt solution."

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