In February, Chancellor Rishi Sunak announced that millions of people would receive a city council tax rebate this spring as part of a 9 9.1 billion Treasury support package. It is a one-time payment of £ 150 and does not need to be refunded unlike the £ 200 energy discount that will be made later in the year.

How does the tax deduction of the municipal council work?

The φό 150 city tax deduction will be paid to households living in A – D municipal tax areas. According to the government’s website, “payments will be made from April 2022 and will not need to be returned.” This includes those who receive Local Council Tax Support, even if their municipality’s tax bill is less than £ 150 per year. If the residents of a property in zones A – D are exempt from municipal tax on April 1, 2022, they will qualify for the deduction if the property falls into one of the following categories of exemption:

Category N (students – excluding HMOs for municipal tax purposes) Category S (under 18 years old) Category U (people with severe mental disabilities), Category W (annexes occupied by a dependent relative)

How do I apply for my discount?

If you qualify and are already paying your city tax with a flat fee, you should automatically receive the discount in your account. The discount will be provided as a separate payment and not as part of your tax bill to the city council. Individuals who qualify but do not pay their bill by standing order will contact the city council from April to arrange a method of paying the discount. Meanwhile, the government says you do not need to do anything. If you belong to this category, the city council may offer you the option to receive the payment as a municipal tax account credit. In Scotland, eligible people will receive their payments in a similar way to those in England if they pay their city tax at a flat rate. But Scottish councils will decide whether to give households 150 150 in cash or as a credit from city taxes. In Wales, people are expected to start receiving money from April. If you are already paying your local tax to the local authority with a direct charge, then the lump sum payment will be automatically credited to your account. As a draft schedule, the claims for the discount can be processed until September 30, 2022. However, according to MoneySavingExpert, people should be prepared for the discount that will not come in April. There are reports of a city council telling residents that a “software problem” had suspended payments and they would not receive their payment “at least in June”. Another council said it had told residents they would not receive their payment until September.

How do I know which municipal tax team I belong to?

You can check it out by visiting: https://www.gov.uk/council-tax-bands To find your board, you can go here.