How we calculate Council Tax
Each year, we decide our budget requirement. This is the amount
of money which we need to spend to provide our services, after
taking into account any income from those services (for example,
fees and charges, and specific government grants for particular
services).
We receive the following money from the National Assembly to
help finance this budget requirement:
- Revenue Support Grant - this is a general grant towards the
cost of paying for all the Council's services. It is allocated to
local authorities, according to a formula.
- Business Rates - the Business Rates which each local authority
collects are paid to the National Assembly, who give the income
back to local authorities based on the population of each
authority.
The rest of the budget requirement (just over 20%) comes from
Council Tax. We work out how much Council Tax will be for a band D
property by dividing the amount to be financed from Council Tax by
our Council Tax base. To work out the Council Tax base we add up
the number of properties we collect Council Tax from. We then
adjust this number to take account of discounts and so on, and we
convert the answer into the equivalent number of band D
properties.
Having worked out the Council Tax for a band D property, we work
out the amounts for other properties by applying the following
proportions to the band D amount:
| Band |
Proportions of Band D |
| A |
6/9 |
| B |
7/9 |
| C |
8/9 |
| D |
9/9 |
| E |
11/9 |
| F |
13/9 |
| G |
15/9 |
| H |
18/9 |
| I |
21/9 |
Council Tax bills also include an additional amount for:
- South Wales Police Authority; and
- in the former Neath and Lliw Valley areas only, the community
council for the area where the property is located.
Neath Port Talbot collects these amounts and pays them over to
the Police Authority and each community council.