Council Tax - Student/Non-Student Quandry

So, my house is in a bit of argument over the council tax bill, and, being American and being new to this, none of us really know what we are talking about.

The situation is as follows:
4 people: 3 are full-time students, 1 is married to one of the full-time students

The debate:
How do we split the council tax bill, after discount?

The positions:
Party A (the 2 two single full-time students): It the house was all full-time students, everyone would be council tax exempt because the council doesn't think students should pay.  The non-student should pay everything.

Party B (the married couple):  It's unfortunate that the house is not council tax exempt, but council documentation clearly states that, if all the people are NOT exempted, there will be a bill for 75% of the council tax. Clearly, this is not proportionate to the number of students in the house.  As such, the council tax should be split 4 ways for four people, so that the married couple pays half, and the other students pay their fourth each.

Sigh. 

Thoughts? Expert or experienced opinions?

It's unfortunate that the house is not council tax exempt, but council documentation clearly states that, if all the people are NOT exempted, there will be a bill for 75% of the council tax.

Well that would depend upon the number of "counting adults", but as there is only one of those, yes there will be a 25% "single occupant discount".

How to split the bill? Although that person is hardly likely to agree, I think that only your Plan A is fair. After all, full-time students are exempt from the tax, so should not be paying anything.

You do not tell us much about the non-student. British? EEA? Non-EEA?, and if so, their UK immigration status? Also the same for their spouse. And is the non-student working? If so, earning roughly how much?

Just wondering whether the non-student can claim any Council Tax Benefit?

I think it may be complicated by possibly being a House in Multiple Occupancy.  I'm also a newbie here from the US, but I think you should check with your local council.  It looks like if this is the case, the owner is typically liable for Council Tax.  Also, if the spouse is unemployed, there will not be any Council Tax as the exemption does extend to them.
I think the first thing to do is find out who is legally responsible and how much your discount is before trying to figure out how (or if) to split it.
To answer John's question, no student or dependent of a student (according to visa status) can claim any public benefit other than NHS and council tax exemption/discount.

if the spouse is unemployed, there will not be any Council Tax as the exemption does extend to them.

Technically not correct. The non-student is liable, but might well be able to claim Council Tax Benefit, to cut out the whole amount payable.

no student or dependent of a student (according to visa status) can claim any public benefit other than NHS and council tax exemption/discount.

We don't know that the non-student is a dependent of a student. Indeed we don't (yet) know anything about their UK immigration status.

John, I was assuming that the spouse came over as a dependent of the student since it is much easier than coming under a work permit (I had investigated all of that for my wife just three months ago).  According toUKCISA, "If the only non-student adult in your dwelling is your spouse (husband or wife), civil partner or an adult dependant, the dwelling may still be exempt."

John, I was assuming that the spouse came over as a dependent of the student since it is much easier than coming under a work permit (I had investigated all of that for my wife just three months ago).  According toUKCISA, "If the only non-student adult in your dwelling is your spouse (husband or wife), civil partner or an adult dependant, the dwelling may still be exempt."

You're right, the non-student is married to one of the students. The non-students visa is a Student Dependent, and thus fully eligible to work. They are currently looking for work.

Impleri, on the council tax form, there was a non-british spouse check box under discounts. From what I understand, this means the council tax MAY be reduced by half. Do you know anything more about possible exemption?

Technically not correct. The non-student is liable, but might well be able to claim Council Tax Benefit, to cut out the whole amount payable.

We don't know that the non-student is a dependent of a student. Indeed we don't (yet) know anything about their UK immigration status.

JohnL: The non-student is married to a student and has a Student Dependent visa with work privileges but "No recourse to public funds."

I've found some text based off of Impleri's link:

From the UKCISA linke: "Some local authorities refuse to recognise that a
dependant who has permission to work in the UK but has
a ‘no recourse to public funds’ condition in their passport
is exempt from Council Tax. If this is the case you can
direct them to the UK government’s Department of
Communities and Local Government publication:
Council Tax: A guide to your bill at <www.local.odpm.
gov.uk/finance/ctax/ctaxbillguide.pdf>, which sets out
the entitlement in the section on full-time students on
page 9."


From Council Tax: A guide to your bill
"You will not be counted if you are the spouse, civil
partner or dependant of a student, are not a British
Citizen, and are prevented by the terms of your
permission to be in the UK either from taking paid
employment or from claiming benefits."

BUT it also says: "If the local authority counts no resident adults,
there will be a 50% discount. For example, an
international student shares a flat with another adult
who is not a student but is in another category
disregarded by the local authority. The flat is not
‘exempt’ because it is not occupied only by students.
However, both residents are ‘disregarded’, so there is a
50% discount."

The first section would suggest that the entire house is exempt. But on the council tax form, there was clearly no exempt box to check, only boxes under the discounted/disregarded section. So, I'm not sure which to rely on.

Thanks to both of your for your help.