Agenda Item No_____7_______
DETERMINATION OF THE COUNCIL TAX BASE FOR 2013/14 AND THE TREATMENT OF
SPECIAL EXPENSES
Summary:
The purpose of this report is to determine the Council’s
2013/14 tax base and the 2013/14 tax base for each
parish in accordance with the legal requirements.
Options considered:
N/A
Conclusions:
The determination of the tax base for a financial year
has to be undertaken in accordance with legislative
requirements between 1 December and 31 January of
the preceding financial year.
Recommendations:
a) That the calculations set out in this report used to
produce the Council’s tax base be approved, and the
tax base for 2013/14 be determined as 36,411;
b) That the tax base for each parish area for the
financial year 2013/14 be as set out at paragraph 2.1.
Reasons for
Recommendations:
To determine the 2013/14 Council Tax Base in
accordance with legislative requirements and to inform
the 2013/14 budget setting process.
Cabinet Member(s)
Ward(s) affected All
All
Contact Officer, telephone number and email:Karen Sly, 01263 516243, Karen.sly@northnorfolk.gov.uk
1.
Council Tax Base
1.1
The council tax base is the measure of the relative taxable resources of an area and
represents the estimated full year equivalent number of chargeable dwellings expressed as
the equivalent number of Band ‘D’ dwellings.
1.2
The council tax base for a billing authority’s area, or any part of its area (e.g. parish) must
be calculated by the billing authority in accordance with the Local Authorities (Calculation of
Tax Base) Regulations 1992 as amended. It is calculated as the aggregate of the “relevant
amounts”, calculated for each valuation band, multiplied by the authority’s estimated
“collection rate”. The “relevant amount” represents the estimated full year equivalent
number of Band D dwellings after taking into account the number of discounts and disabled
reductions which apply to those dwellings.
1.3
The Local Authorities (Calculation of Tax Base) (England) Regulations 2012 introduced a
reduction to the tax base in respect of the Council’s Local Council Tax Support Scheme.
From 1 April 2013 Council Tax Benefit will be replaced with a Local Council Tax Support
Scheme, and the reductions granted under the scheme will reduce the tax base in a similar
way to discounts.
1.4
The “collection rate” reflects an assessment of how much council tax may not ultimately be
collected due to dwellings leaving the valuation list, successful appeals against valuation
bandings, increased numbers of exemptions and discounts, and bad debts. The council tax
base for tax setting purposes for a financial year has to be determined between 01
December and 31 January of the preceding financial year.
1.5
The calculations below assume that the determination of council tax discounts and level of
charges considered by Cabinet on the 7th January 2013, and recommended to this meeting
elsewhere on the agenda, are approved for 2013/14. Under these new technical reforms to
council tax, the Council has new flexibilities to vary the discount on second homes, vacant
and uninhabitable dwellings, and to introduce an empty property premium. Items in the
table at 1.6 below in italics have been introduced or varied under the new flexibilities.
1.6
Firstly, the number of chargeable dwellings in North Norfolk for 2013/14 is calculated in the
table below:
Equivalents
Number of dwellings on the council tax data base as at 15
November 2012
LESS ƒ No of exempt dwellings
52,835.00
-2,099.00
Number of chargeable dwellings at 15 November 2012
LESS
LESS
LESS
LESS
50,736.00
ƒ
Equivalent reduction for dwellings subject
to a 5% discount (second homes not
entitled to a 50% discount) (-3,720.00 x
0.05) (A 10% discount applied in 2012/13)
ƒ Equivalent reduction for dwellings subject
to a 25% discount (including single
occupancy) (-15,738.00 x 0.25)
ƒ Equivalent reduction for dwellings subject
to a 50% discount (including tied
accommodation, some care homes, and
some second homes) (-466.00 x 0.5)
ƒ Equivalent reduction for the Local Council
Tax Support Scheme
Total equivalent number of discounts
-186.00
-3,934.50
-233.00
-6,768.52
-11,122.02
Number of chargeable dwellings after discounts at 15 November 2012
ADD
ƒ
ADD
ƒ
Dwellings coming on list sometime before
31 March 2014
Properties with seasonal prohibitions
ADD
ƒ
Vacant Dwellings
53.00
ADD
ƒ
Uninhabitable Dwellings
38.00
ADD
ƒ
ƒ
Empty Homes Premium
Dwellings expected to fall out of list
sometime before 31 March 2014
64.05
LESS
Total additional chargeable properties
176.00
510.74
-19.00
822.79
39,613.98
LESS
LESS
LESS
ƒ
Additional equivalent reduction for
dwellings coming on list before 31 March
2014 expected to receive a 5% discount
(second homes not entitled to a 50%
discount) (14.66 x 0.05)
ƒ Additional equivalent reduction for
dwellings coming on list before 31 March
2014 expected to receive 25% discounts
(including single occupancy) (61.25 x
0.25)
ƒ Additional equivalent reduction for
dwellings coming on list before 31 March
2014 and properties with seasonal
prohibitions expected to receive a 50%
discount (511.25 x 0.5)
Net reduction in equivalent number of
dwellings for discounts
-0.73
-15.31
-255.63
-271.67
Total additional chargeable dwellings
551.12
Number of chargeable dwellings for 2013/14 after
discounts
1.7
The calculation of the aggregate of the ‘relevant amounts’ for the North Norfolk area for the
financial year 2013/14 is shown below:
BAND
A, subject to
reduction for
disabilities
A
B
C
D
E
F
G
H
TOTAL
1.8
40,165.10
Total No of
chargeable dwellings
adjusted for
discounts
(i)
24.75
6,660.39
9,998.51
9,093.62
7,358.64
4,106.35
1,947.39
903.45
72.00
Relevant Proportion
Relevant Amount
(ii)
(i) x (ii)
5/9
6/9
7/9
8/9
9/9
11/9
13/9
15/9
18/9
40,165.10
13.75
4,440.26
7,776.62
8,083.22
7,358.64
5,018.87
2,812.90
1,505.75
144.00
37,154.01
The Council’s Council Tax Base is then calculated by multiplying the total of the relevant
amounts for the year for each of the valuation bands by the Authority’s estimate of its
collection rate for that year. A collection rate of 0.98 is suggested, which allows for 2.00%
for non-collection factors that apply each year. The non-collection allowance in the current
year is 1.5% but is anticipated to deteriorate on the introduction of the Local Council Tax
Support Scheme, the technical reforms to council tax and the difficult economic climate.
The Council Tax Base for tax setting purposes is calculated as follows:
37,154.01 x 0.98 = 36,411.00
1.9
The Local Government Finance Act 1992 also requires that a Council Tax Base is
determined for each individual parish area within the District. These are detailed in
paragraph 2.1 below.
2.
Tax Base per Parish
2.1
The amounts calculated in accordance with the relevant regulations as the Council Tax
Base for each parish area for the financial year 2013/14 are as follows:-
PARISH
Council
Tax
Base
Alby With Thwaite
93.05
Aldborough and
Thurgarton
208.51
Antingham
115.08
Ashmanhaugh
65.32
Aylmerton
186.10
Baconsthorpe
76.30
Bacton
455.98
Barsham
93.91
Barton Turf
237.01
Beckham East/West
108.64
Beeston Regis
356.83
Binham
165.01
Blakeney
505.35
Bodham
146.65
Briningham
61.01
Brinton
117.06
Briston
778.76
Brumstead
25.50
Catfield
295.78
Cley
303.94
Colby
177.50
Corpusty &
Saxthorpe
252.43
Cromer
2,652.62
Dilham
130.60
Dunton
50.83
East Ruston
175.20
Edgefield
167.65
Erpingham
226.77
Fakenham
2,280.37
Felbrigg
65.01
Felmingham
176.88
Field Dalling
133.08
Fulmodestone
166.28
Gimingham
137.45
Great Snoring
76.39
Gresham
161.29
Gunthorpe
138.53
Hanworth
96.40
Happisburgh
286.91
Helhoughton
115.70
PARISH
Hempstead
Hempton
Hickling
High Kelling
Hindolveston
Hindringham
Holkham
Holt
Honing
Horning
Horsey
Hoveton
Ingham
Ingworth
Itteringham
Kelling
Kettlestone
Knapton
Langham
Lessingham
Letheringsett with
Glandford
Little Barningham
Little Snoring
Ludham
Matlaske
Melton Constable
Morston
Mundesley
Neatishead
North Walsham
Northrepps
Overstrand
Paston
Plumstead
Potter Heigham
Pudding Norton
Raynham
Roughton
Runton
Ryburgh
Council
Tax
Base
70.90
175.29
383.36
262.01
189.65
227.25
84.78
1,473.54
116.74
575.07
27.67
703.68
143.10
39.94
57.41
80.82
86.76
140.32
188.74
215.06
120.94
37.24
203.36
467.30
60.42
172.58
57.88
1,032.89
224.87
3,543.15
301.95
402.95
75.63
48.21
383.11
69.12
123.07
311.39
679.64
210.85
PARISH
Salthouse
Scottow
Sculthorpe
Sea Palling
Sheringham
Sidestrand
Skeyton
Sloley
Smallburgh
Southrepps
Stalham
Stibbard
Stiffkey
Stody
Suffield
Sustead
Sutton
Swafield
Swanton Abbott
Swanton Novers
Tattersett
Thornage
Thorpe Market
Thurning
Thursford
Trimingham
Trunch
Tunstead
Upper Sheringham
Walcott
Walsingham
Warham
Wells-Next-The-Sea
Westwick
Weybourne
Wickmere
Wighton
Witton
Wiveton
Wood Norton
Worstead
Council
Tax
Base
110.07
267.12
265.23
194.44
2,924.32
44.05
83.56
81.73
169.34
301.30
928.23
128.37
123.98
88.79
49.65
82.58
359.70
105.53
140.35
78.56
260.63
88.87
103.14
29.11
101.73
127.14
325.06
243.36
90.84
198.36
327.79
73.02
995.12
27.93
306.88
56.19
102.78
116.63
82.91
96.77
297.52
3.
Special Items
3.1
These are items taken into account by a District Council, County Council or
Police Authority, which relate to a part only of its area. Special items include
parish precepts and special expenses. No requirement has been identified
for any special expenses in 2013/14 and so it is only necessary to calculate
tax bases for each parish.
4.
Implications and Risks
4.1
The determination of the tax base is an essential pre-requisite for the setting
of the council tax which will be carried out at Full Council scheduled for 27
February 2013.
4.2
Without the determination of the tax base it will not be possible for the council
tax for 2013/14 to be calculated and set, thus preventing the timely billing of
council tax.
5.
Sustainability – None as a direct consequence of this report.
6.
Equality and Diversity – None as a direct consequence of this report.
7.
Section 17 Crime and Disorder considerations – None as a direct
consequence of this report.