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Mortage interest and other expenses

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A client rents two rooms in his three bedroom home.  Rental income is circa £20K and the client pays circa £15K in mortgage interest. Can he claim relief for 2/3rds of the interest and lighting and heating, or is he limited to £7.5 Rent a room relief?  If he can claim the actual proportion does that disqualify him from PPR Relief on that portion of gain on sale of the property? I'm leaning towards a loss of PPR Relief if he claims the actual proportion, but I've not come across this problem before.

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By frankfx
17th Dec 2020 14:56

Please.
Kindly,Cite the source(s) of your leanings.
HMRC property income manual?

Thank you

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By Wanderer
17th Dec 2020 15:16

Why do you think the rules for Income Tax affect the computations for Capital Gains Tax?

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A Putey FACA
By Arthur Putey
17th Dec 2020 15:29

pdt7464 wrote:

A client rents two rooms in his three bedroom home ... Can he claim relief for 2/3rds of the interest and lighting and heating


Are there no reception rooms?
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By Paul Crowley
17th Dec 2020 15:44

Make a choice
Rent a room, or proper rent account

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Replying to Paul Crowley:
A Putey FACA
By Arthur Putey
17th Dec 2020 16:04

or rent proper accountant!

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