Many Brits’ wallets are still feeling the effects of Christmas.

Thankfully, there are some months where council tax doesn’t have to be paid, which should help make things that much easier.

But what is council tax, and which months are council tax-free?

Here is all you need to know.

What is council tax?

Council tax is a system of local taxation collected by local authorities.

It is a form of tax on domestic property that is levied on households by local authorities in Britain, based on the estimated value of a property and the number of people living in it.

Each year, every local authority will set a rate of council tax for each valuation band, however there are some properties which are exempt from council tax.

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There are eight council tax valuation bands in England and Scotland, from A to H. Band A is the lowest, while band H is the most expensive.

Most people pay band D council tax rates.

In Wales, there are nine bands, with band one being the highest.

The valuation council tax band ranges for England are as follows: 

  • Band A – Up to £40,000
  • Band B – More than £40,000 and up to £52,000 
  • Band C – More than £52,000 and up to £68,000
  • Band D – More than £68,000 and up to £88,000 
  • Band E – More than £88,000 and up to £120,000 
  • Band F – More than £120,000 and up to £160,000 
  • Band G – More than £160,000 and up to £320,000 
  • Band H – More than £320,000 

Council tax bills for the coming year are issued on or before 30 April and for most people, the total sum owed is payable in 10 monthly installments.

Therefore, people will receive a tax break in the other two months.

Which months do you not pay council tax?

Some people choose to pay their council tax in 10 instalments, while others spread the cost by paying over 11 or 12 months.

If you pay your council tax in 10 instalments, then you can look forward to a break in your bill in February and March.

You’ll need to check your direct debit plan, and your bill, to find out whether you’re entitled to a two-month council tax break.

If you would rather pay your council tax in payments over 12 months, then it is advised to contact your council as soon as possible because each one will have its own deadline for switching bills.

Remember – if you do go for this option, you won’t experience the joy of two council tax-free months.

For those who will receive a tax break until they start paying in April again, it is advised to go easy on the spending during these months before you start paying council tax again.

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