My client already has 2 rental properties for which annual tax returns are submitted. He tells me that in Oct 2019 he took on a rent a room lodger paying £600/mth. The accommodation is above a garage and consists of a bedroom and bathroom only. The garage is a separate building from his house although all part of the same family home. I spoke to HMRC and the lady I spoke to seemed a bit vague as to whether this set up was strictly rent a room etc. Has any one got an opinion as to how I should treat the additional income?
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See ITTOIA 2005 s787 (2) and also PIM4004 https://www.gov.uk/hmrc-internal-manuals/property-income-manual/pim4004 re "temporary division". You may need some more information from your client to enable you to make a judgement.
I recall from a CIOT course that rent a room required use of the same front door. So I would say not rent a room would not apply in this case.