25/09/2007

Troops To Get Council Tax Relief

British Armed Forces personnel deployed to Iraq and Afghanistan are to receive a tax-free rebate on the cost of council tax in new measures announced by the government.

Under the new plans, all troops who pay council tax for a property in the UK will receive financial support through a flat-rate rebate payment over a six-month tour of £140 - which is worth 25% of the average council tax bill.

The rebate will be added to the tax-free Operational Allowance paid at the end of an operational tour in Afghanistan or Iraq.

The new measures will be introduced from October and first payments will be made from April 1, 2008.

Defence Secretary Des Browne said: "I am delighted to announce a further enhancement to the operational welfare package. Armed Forces personnel who pay council tax and who deploy to Iraq and Afghanistan will be entitled to a tax-free payment of £140.

"This payment is designed to offset around 25% of their council tax payments whilst they are on operations. It underlines the government's commitment to support our Armed Forces and their families.

"We intend to extend this payment to all those deployed overseas on operations next year."

The tax-free Operational Allowance is currently worth £2,300 over a six-month tour of duty in Iraq and Afghanistan.

(KMcA)


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