Please help! Have a customer who was an asylum seeker in 2001 supported and accommodated by social services. she is a sinle parent and now as Indefinite Leave to remain. She is working.

This lady is now liable for council tax and elected to pay by Direct Debit from April 2004. She has however been made laible for council tax for the period she was being supported by Social Services as an asylum seeker and £800 has been taken out of her account in one payment. Can a LA do this?

They may be able to. CPAG's Council Tax Handbook (4th ed, p64) says councils will not be acting unreasonably if they pursue an asylum seeker for Council Tax. Reference is R v Hackney LBC ex parte Adebiri.

The good news is that from April 2000 the owner of the property is normally liable, not the asylum seeker.
The Council Tax Information Letter No. 20 from the Department for Transport,Local Government and the Regions says
“However, if asylum seekers are housed in self contained flats or families occupy a separate house, they would be liable for council tax under current liability regulations. We appreciate that were this to happen, the asylum seekers are unlikely to have the means to pay and authorities would have little hope of collecting the debt.
We are aiming to avoid such situations arising from 1 April by making the owners of accommodation provided under section 95 of the Immigration and Asylum Act 1999 liable for council tax by prescribing a new class of dwelling under section 8 of the Local Government Finance 1992. The Council Tax (Liability for Owners) (Amendment)(England) Regulations 2000 - SI.No. 2000/537.”

As to whether they can take it as one lump sum!. I suspect they can, but they should enter into special arrangements if it would cause hardship.