Thousands of people across the UK are paying council tax without understanding they may be eligible for an exemption or rebate.
Many may be eligible for a decrease if they have been diagnosed by a doctor as “severely mentally impaired” (SMI).
The size of the discount provided depends on who resides in the property, and some households may be eligible to receive refunds backdated.
If you suspect that you may have a medical condition that could make you eligible for a council tax exemption or discount, you can check out the full list of SMI conditions below.
Full List of Medical Conditions That May Qualify for Council Tax Discounts
The following conditions are considered SMI:
- Multiple Sclerosis.
- Learning problems
- Parkinson disease
- Dementia (including Alzheimer’s)
- Permanent implications of a large stroke
- Complications of cerebral palsy
The above is a list of conditions which are considered to be part of SMI. A person will need a doctor’s diagnosis to be eligible to claim the council tax discount.
Benefits Required to Qualify for a Council Tax SMI Discount
To qualify for the discount you need to be receiving one of the following benefits in England, Wales and Scotland as well as having a SMI:
It’s worth noting that anyone who qualifies for the benefit but isn’t in receipt of it could also be entitled to a council tax cut in Scotland.
The benefits are as follows:
- Invalidity Benefit
- Attendance Allowance
- Severe Disablement Allowance (SDA)
- Disability Living Allowance (middle or higher rate of care)
- Increase in Disablement Pension.
- Unemployability Allowance or Supplement
- Attendance Allowance (permanent)
- Income Support (with a disability premium)
- Personal Independence Payment (daily living component at standard or increased rate)
- Armed Forces Independence Payment
The benefits you must be claiming include the following in England and Wales:
- Disability Allowance Working
- Universal Credit
If you are eligible for the following, you can also apply for a discount when in Scotland:
- Employment and Support Allowance (ESA)
- Universal Credit (UC)
- Tax Credits (containing disability element)
How Much Council Tax Discount Can You Get?
If you have been diagnosed with a SMI and live alone you could be entitled to get a 100% reduction and not pay any council tax.
Those identified as part of SMI and living with an adult carer might obtain a 50% discount or a single person could receive a 25% reduction if living with someone who qualifies for having to pay council tax.
But anyone with a SMI and living with two or more paying adults will get no reduction at all.
How to Apply for a Council Tax Rebate
If you think you could qualify for a council tax rebate you should contact your local council with proof of diagnosis from a GP.
It’s worth knowing that councils don’t have to backdate council tax discount claims as each local authority has its own policy.