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Is dad's contribution to household taxable income?

Incapacitated father is paying a monthly sum to cover board, lodgings and care.

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Taxpayer's father had a stroke leaving him needing 24 hour care. Father moved in with his son and family and agreed to pay a monthly sum to cover the costs of living in the home which also recognises that his son is no longer able to work as he needs to be home to provide care.

Would some or all of this payment be taxable as income?  Would it be possible to split it between, rent (up to level of rent a room relief for example), food and care?

Initially, i had assumed it would be fully taxable, but this thread has given me hope that some of it at least could be deemed not to be income https://www.accountingweb.co.uk/any-answers/should-rent-a-room-relief-in...

What do you think?

 

Replies (4)

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RLI
By lionofludesch
11th Dec 2019 11:41

No.

Purely domestic arrangement.

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By JDBENJAMIN
11th Dec 2019 17:04

If he is only paying his share of costs, then there is no profit, so nothing to report.

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Replying to JDBENJAMIN:
RLI
By lionofludesch
11th Dec 2019 17:14

43POIUE

JDBENJAMIN wrote:

If he is only paying his share of costs, then there is no profit, so nothing to report.

He's not, though, is he ? The OP specifically says that there's an element of compensation for loss of earnings.

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By Rgab1947
13th Dec 2019 12:34

He lives with his son and contributes to the cost. Its domestic not commercial.

Can you imagine if everyone who shared premises had to account for it to HMRC?

Bringing HMRC into the family does not create family harmony.

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