BREAKING – Landlords have welcomed the news that an Appeal Court judgement says they are not responsible for paying the council tax on a property after a tenant has moved out, and before a tenancy agreement has expired.
The appeal, which was brought by Leeds City Council, and which had demanded that council tax be paid by a landlord for five properties for periods when the homes were empty, but these tenancies had not been formally ended by either the landlord or his tenants.
The tenancies in question were contractual periodic tenancies which followed a fixed-term. The Council’s argument was based on its claim that a single tenancy cannot be both a fixed term and periodic. The landlord argued that the contract created a single tenancy whose term was six months and thereafter continuing as a monthly tenancy. This would have the same effect as a fixed term assured shorthold tenancy the landlord’s lawyers said.
The Council appealed against a High Court rejection of the its claim, which had said that there was no uncertainty of term, and that the council tax liability remained with the tenant and not the landlord.
David Smith, Policy Director for the Residential Landlords Association which intervened in the case on behalf of landlords said:
“The RLA is very pleased with this decision which upholds the basic principles of tenure”.
BREAKING – Landlords Win Council Tax Court Case https://t.co/faZciuMdOm
— LandlordZONE (@LandlordZONE) November 17, 2016