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Rent a room relief part commercial

can we claim part of the income under RAR?

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Having a January brain freeze - An individual lives in a large property and he rents out some of the rooms to lodgers, fine for Rent a Room, however one of the rooms is let to a business, can we still claim RAR against the lodgers income and declare the income from the business separately as normal?

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By Wanderer
16th Jan 2020 07:12

Have a look at:-
http://www.legislation.gov.uk/ukpga/2005/5/section/797
in conjunction with:-
http://www.legislation.gov.uk/ukpga/2005/5/section/786
et. seq.

NH wrote:

he rents out some of the rooms to lodgers, fine for Rent a Room, however

Be mindful about:-
1. CGT
2. HMO
NH wrote:

one of the rooms is let to a business

Be mindful of CGT.
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By Tax Dragon
16th Jan 2020 10:01

You might want to be aware of HMRC's interpretation of s785(1)(b). This is referred to in PIM4002.

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