Student rental income
I have a (new) client who bought a property jointly with another unrelated person for the purpose of housing their children (A&B) who were going to University.
The house was big enough for A&B plus three other students.
The three other students paid rent each month and the parents of A&B also paid rent on behalf of their two children.
Is the rental income paid by A&B's parents taxable?
It would seem strange if I bought a house for my child, paid rent into a rental bank account each month and had to be taxed on that money. However if I bought the house jointly with a friend then the money I lodged into the bank would be income for my friend.
So do I treat 50% of A&B's rental as taxable income?
- Was I rude 98 6
- Director's minimum wage? 54 1
- Work in progress calculation 57 2
- Limited Company - Personal Bank Account 914 29
- Help with share restructuring 77 1
- HMRC Employers Diary 556 1
- Career slump - advice and/or sympathy much appreciated 408 8
- Advice please on best way forward 539 7
- Recommendations for tax advice sole practitioner 554 9
- Should I pass on my HMRC login 240 8
- Entrepreneurs relief/ Company Secretary 92 1
- Invoice factoring 202 7
- old client has come out of the woodwork 313 2
- Scoot 384 7
- Is our client doing anything wrong? 493 3
- paye scheme very used 249 3
- Operating lease 142 4
- Gifting shares 120 1
- ICPA taxwise fee protection 276 4
- Disclosure query 179 3
- Skandia using wrong address 1,469
- Nil Rate Band Trust - index linked debt by way of charge over property 792
- Any views 719
- International interest certificate 434
- Stamp Duty on share for share exchange 404
- Sale of business 369
- NOVA 272
- Advertising services? 268
- IRIS Open Books problem 266
- farming-related R & D tax relief claims 182