KEY DECISION NOTICE. Exchequer Services

Transcription

1 KEY DECISION NOTICE SERVICE AREA: GOVERNANCE AND PENSIONS Exchequer Services SUBJECT MATTER: COUNCIL TAX BASE DECISION: DECISION TAKER(S): DESIGNATION OF DECISION TAKER(S): That pursuant to the figures set out in the Report of the Assistant Director of Exchequer Services, and the Local Authorities (Calculation of Council Tax Base) (England) Regulations the amount calculated by Tameside Metropolitan Borough Council as its Council Tax base for the year 2018/2019 shall be 60, the amount calculated by Tameside Metropolitan Borough Council as the tax base for the Town Council of Mossley for the year 2018/2019 shall be 3,310.5 Councillor Jim Fitzpatrick First Deputy (Finance and Performance) DATE OF DECISION: 25 January 2018 REASON FOR DECISION: The law requires that the calculation of the Council Tax base for tax setting must be made between 1 December 2017 and 31 January 2018 ALTERNATIVE REJECTED (if any): CONSULTEES: OPTIONS The calculation is prescribed by Law and there is no alternative that can be proposed. Internal only FINANCIAL IMPLICATIONS: (Authorised by Section 151 Officer) LEGAL IMPLICATIONS: (Authorised by Borough Solicitor) CONFLICT OF INTEREST: DISPENSATION GRANTED BY STANDARDS COMMITTEE ATTACHED: ACCESS TO INFORMATION: The Council Tax base calculation informs the overall amount of Council Tax income that the Council can expect to collect in the forthcoming financial year. The setting of the Council Tax base will inform the revenue budget for the 2018/19 financial year and any associated decisions regarding Council Tax levels. The Local Government Finance Act 1992 requires a billing authority to calculate the Council Tax base for tax setting between the 1 December 2017 and 31 January None Not Applicable The following background papers have been used in the preparation of this report and can be inspected by contacting Tracey Watkin, Service Unit Manager, Exchequer Services

2 on or 1. List of un-banded properties. 2. Planning Dept. new buildings forecast. 3. Provisional CTS calculation. Signed.. Date Councillor Jim Fitzpatrick- First Deputy (Finance and Performance)

3 KEY DECISION REPORT SERVICE AREA: GOVERNANCE AND PENSIONS Exchequer Services SUBJECT MATTER: COUNCIL TAX BASE 2018/2019 DATE OF DECISION: 25 January 2018 DECISION TAKER REPORTING OFFICER: REPORT SUMMARY: RECOMMENDATIONS: JUSTIFICATION DECISION: FOR Councillor Jim Fitzpatrick First Deputy (Finance and Performance) Ilys Cookson Assistant Director - Exchequer Services As a prelude to the setting of the Council Tax the Council is required to calculate a Council Tax base each year. This report asks the Executive Member to set the relevant figures for 2018/2019. That pursuant to the figures set out in the Report of the Assistant Executive Director of Exchequer Services, and the Local Authorities (Calculation of Council Tax Base) (England) Regulations the amount calculated by Tameside Metropolitan Borough Council as its Council Tax base for the year 2018/2019 shall be 60, the amount calculated by Tameside Metropolitan Borough Council as the tax base for the Town Council of Mossley for the year 2018/2019 shall be 3,310.5 The law requires that the calculation of the Council Tax base for tax setting must be made between 1 December 2017 and 31 January ALTERNATIVE REJECTED (if any): CONSULTEES: OPTIONS The Calculation is prescribed by law there is no alternative that can be proposed. None. FINANCIAL IMPLICATIONS: (Authorised by Section 151 Officer) LEGAL IMPLICATIONS: (Authorised by Borough Solicitor) RISK MANAGEMENT: The Council Tax base calculation informs the overall amount of Council Tax income that the Council can expect to collect in the forthcoming financial year. The setting of the Council Tax base will inform the revenue budget for the 2018/19 financial year and any associated decisions regarding Council Tax levels. The Local Government Finance Act 1992 requires a billing authority to calculate the Council Tax base for tax setting between the 1 December 2017 and 31 January Every effort has been made to ensure information used is as accurate as possible to ensure that the calculation is as accurate as possible

4 LINKS TO COMMUNITY PLAN: ACCESS TO INFORMATION: The financial implications will be calculated in the light of the budget calculation of the Authority and this will allow for implementation of the Community Strategy to be prioritised. The following background papers have been used in the preparation of this report and can be inspected by contacting Tracey Watkin, Operational Lead, Exchequer Services on or 1. List of un-banded properties. 2. Planning dept. new buildings forecast. 3. Provisional CTS calculation.

5 1. INTRODUCTION 1.1 The law requires that the calculation of the Council Tax base for tax setting must be made between 1 December 2017 and 31 January THE CALCULATION 2.1 The Local Government Finance Act 1992 requires a billing authority to calculate the basic amount of its council tax by calculating its budget requirement less any grants divided by its tax base. 2.2 The tax base is calculated by multiplying its best estimate of the number of Band D equivalent properties by its estimate of the collection rate for that year. 2.3 The first stage of the calculation is to calculate the tax base as it currently is. 2.4 To do this, we calculate the number of properties on the most recent valuation list available, in this case 21 November The valuation list is compiled and maintained by the independent Valuation Office Agency and is used as the basis of the calculation. 2.5 Then, we deduct all the various reliefs that are currently awarded, which result in the full council tax charge being reduced. This means that we calculate the current numbers of exempt properties, those subject to disabled relief and all properties, which are subject to a single person discount. 2.6 Properties which remain empty for more than 2 years will be required to pay an additional 50% Council Tax, and this in reflected in the attached calculation sheets. 2.7 The next factor is new buildings. These are properties, which are currently under construction, but not yet in the valuation list. An estimate is made of the likely band they will be classified in, and the date they are likely to be occupied and therefore subject to council tax. 2.8 A further adjustment is made for un-banded properties. These are new properties, which have been completed but have not yet been listed in the valuation list. Again an estimate of the likely valuation band is made. 2.9 Awards under the Council Tax Support Scheme are a Council Tax discount and therefore affect the tax base. The Council estimates the cost of the scheme to be 13.1m and this cost is equated to the number of equivalent properties by band All of the adjustments are totalled and added to the current tax base in order to give our best estimate for the forthcoming financial year The total number of properties in all bands must then be converted into Band D equivalents to arrive at the tax base One final adjustment to the tax base is made in respect of the collection rate. In 2018/2019 the collection rate is forecast to be 96.5%. 3. THE ACTUAL CALCULATION 3.1 The tables set out in Appendix A show the calculations in accordance with the requirements of the law.

6 4. RESOURCE IMPLICATIONS 4.1 Once the budget calculation of the Authority has been set the tax base will be used to determine the Council Tax charges for 2018/ SUMMARY 5.1 The calculation of the Authority tax base for Council Tax setting purposes gives an estimated Band D equivalent of 63,123.4 as there are no Ministry of Defence properties in Tameside we use an estimated collection rate of 96.5% and this gives a Council Tax base of 60, The calculation of the Mossley Parish tax base for Council Tax setting purposes gives an estimated Band D equivalent of 3,430.6 as there are no Ministry of Defence properties in Mossley we use an estimated collection rate of 96.5% and this gives a Council Tax base of 3, RECOMMENDATIONS 6.1 As stated at the front of this report.

7 CALCULATION OF THE TAX BASE APPENDIX A TAMESIDE MBC 2018/19 Dwellings shown on the Valuation List for the authority on Monday 11 September 2017 Band A entitled to disabled relief reduction 1 Band A 2 Band B 3 Band C 4 Band D 5 Band E 6 Band F 7 Band G 8 Band H 9 TOTAL 1. Total number of dwellings on the Valuation List 52, , , , , , Number of dwellings on valuation list exempt on 2 October 2017 (Class B & D to W exemptions) 1, , Number of demolished dwellings and dwellings outside area of authority on 2 October 2017 (please see notes) Number of chargeable dwellings on 2 October 2017 (treating demolished dwellings etc as exempt) (lines 1-2-3) 51, , , , , , Number of chargeable dwellings in line 4 subject to disabled reduction on 2 October Number of dwellings effectively subject to council tax for this band by virtue of disabled relief (line 5 after reduction)

8 7. Number of chargeable dwellings adjusted in accordance with lines 5 and 6 (lines or in the case of column 1, line 6) , , , , , , Number of dwellings in line 7 entitled to a single adult household 25% discount on 2 October , , , , ,339.0 Tax base after reduction , , , Number of dwellings in line 7 entitled to a 25% discount on 2 October 2017 due to all but one resident being disregarded for council tax purposes Tax base after reduction Number of dwellings in line 7 entitled to a 50% discount on 2 October 2017 due to all residents being disregarded for council tax purposes Reduction in tax base , , , , Number of dwellings in line 7 classed as second homes on 2 October 2017 (b/fwd from Flex Empty tab) Number of dwellings in line 7 classed as empty and receiving a zero% discount on 2 October 2017 (b/fwd from Flex Empty tab) , Number of dwellings in line 7 classed as empty and receiving a discount on 2 October 2017 and not shown in line 12 (b/fwd from Flex Empty tab)

9 14. Number of dwellings in line 7 classed as empty and being charged the Empty Homes Premium on 2 October 2017 (b/fwd from Flex Empty tab) Total number of dwellings in line 7 classed as empty on 2 October 2017 (lines 12, 13 & 14). 1, , Number of dwellings that are classed as empty on 2 October 2017 and have been for more than 6 months. NB These properties should have already been included in line 15 above , a. The number of dwellings included in line 16 above which are empty on 2 October 2017 because of the flooding that occurred between 1 December 2013 and 31 March 2014 and are only empty because of the flooding b. The number of dwellings included in line 16 above which are empty on 2 October 2017 because of the flooding that occurred between 1 December 2015 and 31 March 2016 and are only empty because of the flooding Number of dwellings that are classed as empty on 2 October 2017 and have been for more than 6 months and fall to be treated under empty homes discount class D (formerly Class A exemptions). NB These properties should have already been included in line 15 above. Do NOT include any dwellings included in line 16a and 16b above

10 18 Line 16 - line 16a - line 16b - line 17. This is the equivalent of line 18 on the CTB(October 2016) and will be used in the calculation of the New Homes Bonus , Number of dwellings in line 7 where there is liability to pay 100% council tax before Family Annexe discount , , , , , , Number of dwellings in line 7 that are assumed to be subject to a discount or a premium before Family Annexe discount , , , , , Reduction in taxbase as a result of the Family Annexe discount (b/fwd from Family Annexe tab) Number of dwellings equivalents after applying discounts and premiums to calculate taxbase , , , , , , Ratio to band D Total number of band D equivalents (to 1 decimal place)(line 22 x line 23) , , , , , , , Number of band D equivalents of contributions in lieu (in respect of Class O exempt dwellings) in (to 1 decimal place) Tax base (to 1 decimal place) (line 24 col 10 + line 25) 71, Number of dwellings equivalents after applying discounts amd premiums to calculate tax base (Line 22) , , , , , , Reduction in taxbase as a result of local council tax support (b/fwd from CT Support tab) , , ,765.5

11 29. Number of dwellings equivalents after applying discounts, premiums and local tax support to calculate taxbase , , , , , , Ratio to band D Total number of band D equivalents after allowance for council tax support (to 1 decimal place) (line 29 x line 30) , , , , , , , Number of band D equivalents of contributions in lieu (in respect of Class O exempt dwellings) in (to 1 decimal place)(line 25) Tax base after allowance for council tax support (to 1 decimal place) (line 31 col 10 + line 32) 62,563.2 Forecast new build additional Band D equivalent properties Revised forecast total Band D equivalent properties 63,123.4 Collection rate 96.5% Tameside Tax Base for 2018/19 60,914.1

12 MOSSLEY 2018/19 Dwellings shown on the Valuation List for the authority on Monday 11 September 2017 Band A entitled to disabled relief reduction 1 Band A 2 Band B 3 Band C 4 Band D 5 Band E 6 Band F 7 Band G 8 Band H 9 TOTAL Total number of dwellings on the Valuation List 2, , , Number of dwellings on valuation list exempt on 2 October 2017 (Class B & D to W exemptions) Number of demolished dwellings and dwellings outside area of authority on 2 October 2017 (please see notes) Number of chargeable dwellings on 2 October 2017 (treating demolished dwellings etc as exempt) (lines 1-2-3) 2, , Number of chargeable dwellings in line 4 subject to disabled reduction on 2 October Number of dwellings effectively subject to council tax for this band by virtue of disabled relief (line 5 after reduction) Number of chargeable dwellings adjusted in accordance with lines 5 and 6 (lines or in the case of column 1, line 6) , ,284.0

13 8. Number of dwellings in line 7 entitled to a single adult household 25% discount on 2 October , ,938.0 Tax base after reduction Number of dwellings in line 7 entitled to a 25% discount on 2 October 2017 due to all but one resident being disregarded for council tax purposes Tax base after reduction Number of dwellings in line 7 entitled to a 50% discount on 2 October 2017 due to all residents being disregarded for council tax purposes Reduction in tax base Number of dwellings in line 7 classed as second homes on 2 October 2017 (b/fwd from Flex Empty tab) Number of dwellings in line 7 classed as empty and receiving a zero% discount on 2 October 2017 (b/fwd from Flex Empty tab) Number of dwellings in line 7 classed as empty and receiving a discount on 2 October 2017 and not shown in line 12 (b/fwd from Flex Empty tab) Number of dwellings in line 7 classed as empty and being charged the Empty Homes Premium on 2 October 2017 (b/fwd from Flex Empty tab) Total number of dwellings in line 7 classed as empty on 2 October 2017 (lines 12, 13 & 14)

14 16. Number of dwellings that are classed as empty on 2 October 2017 and have been for more than 6 months. NB These properties should have already been included in line 15 above a. The number of dwellings included in line 16 above which are empty on 2 October 2017 because of the flooding that occurred between 1 December 2013 and 31 March 2014 and are only empty because of the flooding b. The number of dwellings included in line 16 above which are empty on 2 October 2017 because of the flooding that occurred between 1 December 2015 and 31 March 2016 and are only empty because of the flooding Number of dwellings that are classed as empty on 2 October 2017 and have been for more than 6 months and fall to be treated under empty homes discount class D (formerly Class A exemptions). NB These properties should have already been included in line 15 above. Do NOT include any dwellings included in line 16a and 16b above Line 16 - line 16a - line 16b - line 17. This is the equivalent of line 18 on the CTB(October 2016) and will be used in the calculation of the New Homes Bonus Number of dwellings in line 7 where there is liability to pay 100% council tax before Family Annexe discount , ,258.0

15 20. Number of dwellings in line 7 that are assumed to be subject to a discount or a premium before Family Annexe discount , , Reduction in taxbase as a result of the Family Annexe discount (b/fwd from Family Annexe tab) Number of dwellings equivalents after applying discounts and premiums to calculate taxbase , , Ratio to band D Total number of band D equivalents (to 1 decimal place)(line 22 x line 23) , , Number of band D equivalents of contributions in lieu (in respect of Class O exempt dwellings) in (to 1 decimal place) Tax base (to 1 decimal place) (line 24 col 10 + line 25) 3, Number of dwellings equivalents after applying discounts amd premiums to calculate tax base (Line 22) , , Reduction in taxbase as a result of local council tax support (b/fwd from CT Support tab) Number of dwellings equivalents after applying discounts, premiums and local tax support to calculate taxbase , , Ratio to band D Total number of band D equivalents after allowance for council tax support (to 1 decimal place) (line 29 x line 30) , ,420.9

16 32. Number of band D equivalents of contributions in lieu (in respect of Class O exempt dwellings) in (to 1 decimal place)(line 25) Tax base after allowance for council tax support (to 1 decimal place) (line 31 col 10 + line 32) 3,420.9 Forecast new build additional Band D equivalent properties Revised forecast total Band D equivalent properties 3,430.6 Collection rate 96.5% Mossley Tax Base for 2018/19 3,310.5