Local Council Tax Reduction Scheme

South Somerset District Council introduced a local Council Tax Reduction Scheme with effect from 1 April 2013. This scheme replaced Council Tax Benefit for working age people. Pensioners have a separate national Council Tax Reduction Scheme. You will be considered under the working age scheme if you have not yet reached the qualifying age for state pension credit. If you have reached state pension credit age but you have a working age partner who receives Income Support, Jobseeker's Allowance (Income Based) or Employment & Support Allowance (Income Related) you will fall under the working age scheme.

The South Somerset Council Tax Reduction Scheme for working age applicants has many of the same rules that are in Council Tax Benefit. The main differences are set out below.

  • The maximum amount of help will be limited to 85% of the Council Tax Charge
  • Second Adult Rebate will not be available
  • Maintenance payments will be taken into account as income when deciding the level of Council Tax Reduction
  • Non-dependant deductions are increasing
  • A new non-dependant deduction is being introduced where that person receives Income Support, Job Seekers allowance (Income Based), Employment and Support Allowance (Income Related) or Pension Guarantee Credit
  • Earned income disregards are increasing by 50% - this means more of a person earnings are disregarded before it affects how much Reduction they get

Other rules we are transferring to our local scheme include:

  • Protection for those receiving War Widows or War Disablement Pensions by continuing to disregard this income in full
  • Keeping extended payments to help when a person moves into work
  • Continuing to disregard some disability benefits (Disability Living Allowance Care and Mobility payments)
  • Keeping the extra allowances and premiums for families and disabilities when calculating the applicable amount (living allowance)

If you already received Council Tax Benefit you would have been automatically transferred to the Council Tax Reduction scheme. We sent you a letter during March 2013 to let you know if you qualified for a new Reduction and if so, how much.