18th
Nov 2016
There is good news for landlords who are still having to pay council tax even though their tenant has moved out. In an appeal a court has ruled that landlords do not have to continue pay the council tax if a tenant has vacated the property before the end of a tenancy agreement.
The recent ruling in favour for the buy-to-let sector occurred after the Leeds City council took a landlord to court for non payment of council tax, as the tenants had moved out before the end of their tenancy agreement. However an Appeal Court passed judgement that contractual periodic tenancies following a fixed term, were the same as a fixed term assured shorthold tenancy.
The landlord who was in dispute with the council by refusing to pay council tax on five of his empty 'homes', but the council took him to court because the tenancies had not been officially terminated. The council stated that a single tenancy could not be both fixed term and periodic at the same time.
The landlord successfully argued that a contract created a single tenancy for a six month term, and thereafter became a monthly tenancy.
Richard Merrick of PIMS, said : "The ruling supports the basic principles of tenure and is good news for many landlords that have previously had to pay council tax for empty properties."
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