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The Ministry of Defence administers a council tax relief (CTR) scheme for all Regular and Reserve Service personnel serving in qualifying operational locations overseas (such as Iraq, Afghanistan, and now including Libya), who either pay or are counted for council tax for a property in the UK or the equivalent contribution if they are in Service Families Accommodation.
The daily rate of CTR is 50 per cent of the average council tax per dwelling in England. This amounts to approximately £296 for an average six-month tour for Service personnel on eligible operations overseas.
CTR is paid as a tax-free lump sum on completion of duty, based on the number of days in the qualifying operational location. The process of applying for CTR for those eligible is to contact The Ministry of Defence.
All Service personnel who own or rent a private property remain liable to pay council tax on their own property to the local authority.
Those eligible to claim CTR are all Regular Service personnel, mobilised Reserves and Full-Time Reserve Service (Full or Limited Commitment) personnel, serving in operational locations specified by the MOD, who pay council tax for a private property or Contributions in Lieu of council tax for Service Families Accommodation.
Last updated: 13th December 2016