Man hit with 'death tax' after inheriting mother's home

A bereaved man says he has been hit with a "death tax" after inheriting his mother's home.

Phil Bond, 68, lost his mother, Eunice, 91, in May and inherited her house in Cardiff, alongside his brother.

Soon after her death, they received a council tax bill that included a charge for "premium furnished and no-one resident", doubling the annual amount owed to more than £4,000.

In Wales, local authorities can charge a council tax premium of up to 300% on furnished second homes that his mother's property had been reassigned as.

Cardiff Council said no council tax exemption was applied automatically following a resident's death, but circumstances could be considered on request.

In Cardiff a 100% premium applies to furnished properties that are not anyone's sole or main residence.

The premium is intended to encourage bringing empty homes back into use, helping to increase the availability of housing and support sustainable communities.

But Bond, from Llandaff North, said this premium felt like both a "penalty" and a "death tax".

He added: "What I find amazing is the way it's set up, as if the council expects you to empty the house straightaway and then worry about the funeral after."

Bond said that after his mother's death he was occupied with informing friends and family and organising the funeral - the house was "the last thing on my mind".

He added: "Once the funeral is over and everything starts to come back to reasonably normal we then start to look to clear the house because we're going to sell it so we go through everything and then this bombshell drops."

Bond said that he did not object to paying council tax at his mother's property, but it was purely the extra charge he objected to.

He was able to get an exemption after contacting local councillors but is still on the hook for a reduced premium of £544 for the period between May and August when the house was furnished.

He said the premium still felt like a "death tax" and the family were being "penalised through no fault of ours".

Bond added: "You can't tell me we're the first people that this has affected. Someone somewhere has ended up in the same situation."

Cardiff Council said it was sorry to hear of the family's loss and it aimed to make residents aware of any council tax reductions or exemptions.

"There is no council tax exemption that is applied automatically following the death of a resident," a spokesperson said.

"Where a person who lived alone has died the property may be exempt from council tax if it remains unoccupied.

"This exemption remains in place until probate or letters of administration have been granted unless that process takes longer than two years.

"Once probate or letters of administration have been granted the exemption can continue for a further 12 months.

"Where probate or letters of administration are not required, council tax remains payable by the owner or occupier in the usual way."

The council said "substantially unfurnished" properties may be exempt from council tax for up to six months.

Properties that are "actively being marketed for sale" are exempt from the premium and are charged only the standard rate of council tax for up to 12 months.

Residents who believe they may qualify for a reduction or exemption are encouraged to contact the council "so that their circumstances can be considered".