Credit, Collections & Insolvency News
Business rate debts worth more than £130,000 have been written off by Stafford Borough Council. The authority also agreed to write off one council tax debt of £3,205.56 at its cabinet meeting on Thursday, alongside the 18 business rate arrears cases totalling £130,444.24. The businesses involved have not been publicly identified, but the meeting was told pubs were involved.
Senior councillors stressed they did not take the decision to write off the debts lightly however – and the debtors would be pursued if fresh information came to light as to their whereabouts.
Council leader Patrick Farrington said “Every conceivable action route has been taken with a view to recovering sums that are due. It’s only after taking all available steps we find ourselves in the position of having to take the action with a view to writing off.”
A report to the committee said: “The normal course of action has been pursued, namely, bills, reminders and final notices issued and, where appropriate, summonses issued, liability orders obtained and passed to bailiffs for collection and trace.”
“Trace procedures have been followed, which include checking with our internal council systems, using the Locating Council Tax Absconders (LOCTA), a Local Authority data sharing system, to check for forwarding addresses at other Local Authorities, visits to the last known address by the council’s property inspector and use of external tracing agents. Despite these best efforts of council tax and business rates staff, and/or bailiffs, the debtors cannot be traced and no further action can be taken. The debts remain legally due to the council.”
“The cost of collecting the debts has been considered as part of the decision to put them forward for write off. If further information does come forward about the whereabouts of any of the individual debtors the council will pursue recovery action.”
Source: Staffordshire Live