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Government Rent a R...
 
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Government Rent a Room Scheme

 
(@davidstott)
New Member Registered

Hello Dads

I have been researching the Government's Rent a Room scheme through which I can receive rent from a lodger of up to £7500 per year before it is considered a taxable income. I have struggled to find a definitive answer to whether I would need to then add that to my overall income amount when calculating payments to my ex-wife for CM.

Here is the Gov webpage

There will of course be costs to me - such as the furnishings I must provide as part of the scheme and the increase in utility costs. Gas safe certificate and all the other formal compliance conditions within the scheme, so it seems wrong that the rental amount would be considered without at least making those deductions.

I've asked my solicitor who was not able to help. Hoping someone here may have had experience of this before or could advise from an official position.

Many thanks

Quote
Topic starter Posted : 23/10/2022 9:22 am
(@dadmod2)
Illustrious Member

Hi, so I take it you have a private arrangement for paying maintenance? Under CMS they have a notional income policy which would apply to your rental income. At present this only takes effect if you declare it, or your ex asks them to take it into account. More info: https://commonslibrary.parliament.uk/research-briefings/cbp-7773/

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Posted : 23/10/2022 1:08 pm
(@dadmod4)
Illustrious Member

As far as I can see, you don't need to event declare the income to Inland Revenue if the income is below the threshold, and since CMS work on taxable income, I'm not sure it would be included. It might be best to ring CMS and ask them if it's included, just as a general question.

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Posted : 25/10/2022 6:41 pm
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