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Council tax reduction
Council Tax Reduction (CTR) is a scheme to help people on low incomes pay their Council Tax. It replaced Council Tax Benefit in April 2013 and is administered by us on behalf of the Scottish Government.
If you are awarded a reduction, it is paid directly into your Council Tax account and your bill is recalculated to show how much you still need to pay.
Please note that Council Tax Reduction cannot be used to reduce any water or wastewater charges on your bill.
Am I eligible?
CTR works by comparing your income with the amount considered necessary to live on - your "applicable amount". If your income is less than your applicable amount, you may be entitled to a reduction of up to 100%.
If you receive Income Support, income-based Jobseeker's Allowance, income-based Employment and Support Allowance, the guarantee element of Pension Credit, or maximum Universal Credit with no earnings, you may be eligible for the maximum reduction.
If you don't receive any of these benefits but have low earnings or claim Universal Credit to top up your earnings, you might still qualify for some reduction. Your savings must generally be less than £16,000.
If you are married or live with a partner, you will be assessed on your joint income. If you share responsibility for Council Tax with someone other than your partner - for example a brother or sister - you can apply separately.
You might also qualify if there is another adult living in your household who is not your partner and has a low income - see Second Adult Rebate below.
How to apply
You can apply online using the Council Tax Reduction Application Form Online Payment - MyOrkney. You can also call us on 01856 873535, extension 2116, or ask for help completing the form - home visits are available on request where suitable.
You will be asked about the people who live at your home and your income and savings. You will need to provide supporting evidence such as payslips, bank statements or benefit award letters. Please send original documents, which will be returned to you.
The reduction is normally awarded from the Monday following the date we receive your application. In some circumstances it can be backdated - see Backdated Claims below.
If you or your partner are aged 60 or over and have applied to the Pension Service for Pension Credit, you may receive a CTR application form directly from them. If you complete and return that form to us, you will not need to fill in our own application form.
Related resources
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Council tax reduction online application form(opens in new tab)
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Council tax reduction paper application form
This document contains an application form for Housing Benefit and / or Council Tax Reduction from Orkney Islands Council. It asks for details about your household, rent, income, benefits, work, savings and property, and explains the evidence needed, including identity documents, payslips and bank statements. It also covers backdated claims, how information is used, the declaration, and where to return the completed form.
Please be aware that this summary has been generated using AI.
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Notes on application process housing benefit
This document contains guidance on applying for Housing Benefit and / or Council Tax Reduction from Orkney Islands Council. It explains which information and evidence to provide about your household, income, savings, housing and benefits, and when support may be backdated. It also covers Second Adult Rebate, Local Housing Allowance, payment arrangements, privacy, changes you must report and how to return the completed form.
Please be aware that this summary has been generated using AI.
Backdated claims
CTR is normally awarded from the Monday after we receive your claim. We may be able to backdate your award by up to six months if you are under 60, or three months if you are 60 or over, provided you have a good reason for not claiming earlier. Please note that failure to make enquiries or not knowing about the scheme are not considered good reasons for late claiming.
Related resources
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Housing benefit and council tax benefit backdating claims
This document contains guidance on backdating Housing Benefit and Council Tax Benefit claims. It explains that working-age claimants can usually request up to six months’ backdating if they show a continuous good reason for not claiming earlier; people aged 60 or over can usually have claims backdated for up to three months without proving good cause. It also outlines examples of acceptable reasons, what to include in a written request, and how to contact Orkney Islands Council’s Benefits Section for advice.
Please be aware that this summary has been generated using AI.
Second Adult Rebate
If you don't have a partner but share your home with one or more people who are aged 18 or over, on a low income, do not pay you rent, and are not jointly responsible for paying the Council Tax, you may be entitled to a Second Adult Rebate. This could reduce your Council Tax bill by up to 25%. To apply, contact the benefits team.
Changes of circumstances
If you are receiving Council Tax Reduction, you must tell us straight away about any change that might affect your entitlement - for example, if your income changes or you move address. Failing to tell us promptly may result in overpaid benefit being recovered from you.
Related resources
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Council tax reduction - Change of address form
This document contains a change of address form for Housing Benefit and Council Tax Reduction. It asks for details about the claimant, their partner, other household members, benefits requested, moving date and any changes in circumstances. The form includes a declaration about providing correct information and reporting future changes, with instructions for returning it to Orkney Islands Council’s Benefits Section.
Please be aware that this summary has been generated using AI.
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Council tax reduction - Changes in circumstances leaflet and form
This document contains information and a form for reporting changes that may affect Housing Benefit or Council Tax Reduction. It explains that changes such as moving home, changes to income or savings, or someone joining or leaving the household must be reported in writing. The Council may ask for proof, such as payslips, award letters or bank statements. Failing to report changes could lead to lost entitlement, overpayments that must be repaid, or legal action.
Please be aware that this summary has been generated using AI.
Reviewing a decision
If you disagree with a CTR decision we have made, you can ask us to review it within two months of that decision. Your request must be in writing and must explain why you think the decision is wrong. We will respond in writing within two months.
If you remain unhappy after our review, you can apply to the First-tier Local Taxation Chamber for an independent ruling. A further review by the Chamber can only be requested after we have carried out an internal review.
Local Taxation Chamber
Hamilton Business Park, Caird Park, Hamilton, ML3 0QA
Related resources
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Local Taxation Chamber website(opens in new tab)
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Appeal form for council tax reduction
This document contains an appeal form for Housing Benefit and Council Tax Reduction decisions. It asks for your personal details, the benefit being appealed, the decision date and clear reasons why you think the decision is wrong. You can name someone to help with the appeal and must explain any appeal made more than one month late. Sign the form and send it to the Benefits Section, Orkney Islands Council, Council Offices, Kirkwall KW15 1NY.
Please be aware that this summary has been generated using AI.
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Council tax reduction review information leaflet
This document contains information about challenging a Council Tax Reduction decision. It explains how to request a review from Orkney Islands Council within two months, what information to include and when to expect a response. If you’re still dissatisfied, or don’t receive a response, you can ask the independent Local Taxation Chamber for a further review. It also provides contact details for further advice.
Please be aware that this summary has been generated using AI.
Are you missing out on other benefits?
It is worth checking whether you may be entitled to other benefits, tax credits or pension credits. The Orkney Citizens Advice Bureau can give you free, independent and confidential advice on what you might be eligible for.
Orkney Citizens Advice Bureau
6 Bridge Street, Kirkwall, KW15 1HR
Contact us
Benefits team
Council Offices, Kirkwall, Orkney, KW15 1NY