www.iva.co.uk

I posted this message last night but it seems to have disappered so I will post it again.

I have watched with interest a lot of the postings on this forum and a lot on the forum of the IVA Council. The question I have is this, on the IVA Council site there is a message from Nick Peat I.P. part of which reads..
"Council tax is hated by everybody. If you cancelled your direct debit then this would help your cash flow and any arrears accruing up to the date of the bankruptcy order would be written off with the rest of your unsecured creditors."
Now, I'm no I.P. but this seems to me to be encouraging anybody thinking of going bankrupt to stop paying council tax. I always thought that none payment of council tax was a criminal offence for which you can go to prison. Is that not true? If it is true, then is it not very irresponsible to say the least for a qualified I.P. to encourage people to break the law? I would value peoples opinion on this one because it seems to me that the IVA Council are a bunch of chancers?

Actually they seem to have admitted to having acted like a bunch of chancers in their early days; mistaken chancers at that:

http://www.thisismoney.co.uk/credit-and ... _page_id=9

Don't worry though because they've learned from this and everything is fine now!!

Andrew Graveson
Mortgage Broker & Bright Oak Debt Management
andrew@brightoak.co.uk
www.brightoak.co.uk

Your post has not been deleted. I do not know the ins and outs of placings of postings on this site properly myself and I have thought my post had been deleted. However it has just been moved elsewhere on the forum. If you click on you name where it says you are logged in as 'Your Name', you will find access to all the posts you have made.

I know the messsage you posted has not been deleted as I replied to it and found it again by following the above

Tell it like it is.

Thanks for that, I am not a computer/internet expert so I wouldn't have found it without your help. I still would be intrigued to find out if the advice given by Mr Peat is legal or not, and if so then is it considered ethical or is it professionally irresponsible. I don't know the ins and outs of these things but I suspect he has a professional body to which he has to report?

It is not a criminal offence not to pay council tax and council tax liabilities may be included as a debt within an IVA or bankruptcy, without fear of further sanction. The council is bound, just as any other creditor.

However, outside of an IVA or bankruptcy councils have special powers for recovery of tax giving them the power to apply to a local magistrate for a liabilty order against individuals who have not paid council tax.A liabilty order is the equivalent of a judgement that can lead to the same consequences as a judgement debt but, in addition, the tax payer is also liable to an arrest warrant being issued (generally reserved for the most extreme cases)for contempt of court, a consequence of failing to comply with a liabilty order that does not apply to a judgement debt.

I stress that this does not apply to council tax that is included in either a bankruptcy or IVA.

It could be argued that this advice is inappropriate and could be seen as encouraging debtors to exploit one creditor potentially at the expense of other creditors who have greater powers or are more useful. An example of this would be utility suppliers who have more and immediate powers of recovery and the abilty to apply inconvenient sanctions against non payers, even after they have been made bankrupt or entered in to an IVA.

In essence encouraging debtors to incur credit in the knowledge that they will not pay it which technically is a bankruptcy offence, albeit that for the likely amounts involved it would be very unlikely for there to be any implications.

Hi
Although this forum has suspended the membership of The IVA Council Mr Peat is free to reply to any allegations that are made.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Surely if you set out knowingly to avoid payment you have obtained
a pecunary advantage by deception, by dishonestly obtaining goods
or services, no different to 'doing a runner' from a taxi?

Aucto Splendore Resurgo.
(7 down, 53 to go)

hi my council tax couldnt be included in my iva what was done for me was my ip got the council to get the debt back from bailiffs and i paid it off b4 i started my iva payments

by the way b4 my ip stepped in council was the most arrogant creditor to deal with they didnt want reasons why i fell behind with payments they just wanted the money or theyed get me jailed

Hi
I noticed today that many of Nick Peats posts have been heavily edited,and the part concerning council tax removed !!


Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

It is actually still there if you look hard enough in a blog re IVA fees.