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Lodger ESA and SMI
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All money paid by a lodger in regards to the home - whether bills or rent is income. End of.
Accept it, deal with it
no, it is paying bills.
my PA has a mobile phone through my landline provider.
every month she pays the bill.
are you seriously suggesting that because the bill is in my name and she pays it, that should be classed as my income?
the same applies to the OP. the fact that it isn't the bill holder paying the bill does NOT mean that the funds are the bill holders income0 -
no, it is paying bills.
my PA has a mobile phone through my landline provider.
every month she pays the bill.
are you seriously suggesting that because the bill is in my name and she pays it, that should be classed as my income?
the same applies to the OP. the fact that it isn't the bill holder paying the bill does NOT mean that the funds are the bill holders income
The law is crystal clear on this. Your opinion is just that, an opinion.
I don't know why you provide your PA with a mobile phone through your service provider, or what that has to do with a lodger?
HMRC are well aware of this type of tax evasion and are very clear that all money which the lodger pays for the property (including any bills) is income for the LL. That is a fact, not an opinion.0 -
Maybe it makes life easier for the carer to contact nannytone. Maybe the carer for what ever reason can't get a contract in his/her name (this happened to my son when he had moved address too often as he was in the middle of a divorce and his ex was being a pain about the house).The law is crystal clear on this. Your opinion is just that, an opinion.
I don't know why you provide your PA with a mobile phone through your service provider, or what that has to do with a lodger?
Are you saying that if a lodger moves into a house and wants say SKY but the owner doesn't and the lodger offers to pay to have it put it for his benefit only and to pay the bill that the owner should declare the income even though they have no use of/ for it?HMRC are well aware of this type of tax evasion and are very clear that all money which the lodger pays for the property (including any bills) is income for the LL. That is a fact, not an opinion.
Would it make a difference if the lodger was say a sports writer and needed SKY sport for his work. He could infact claim it as an expense as long as it was deemed totally and exclusively necessary.0 -
exactly the point i am making!
paying bills is nothing at all to do with income.
just for the record. she isn't my 'carer' ( the term makes both of us cringe
)
she helps me with sight related issues only, and i am perfectly capable of seeing to my own personal needs.
the reason her phone is in my name is because as a longstanding customer, i was given a mobile offer that my PA was not able to access0 -
from HMRC
For the purposes of the rent-a-room scheme, gross receipts include not only rents but also payments made to the taxpayer for the provision of any other goods or services (such as meals, cleaning, laundry etc) in connection with the letting.
So yes, the payment for Sky TV would be 'income'.
However, the cost of the service provided would be an allowable expense.
Just as payment for breakfast would be income but the cost of providing the breakfast would be an allowable expense.0 -
Maybe it makes life easier for the carer to contact nannytone. Maybe the carer for what ever reason can't get a contract in his/her name (this happened to my son when he had moved address too often as he was in the middle of a divorce and his ex was being a pain about the house). - That's great and everything, but I wouldn't call that person a lodger, it's akin to an employer/employee relationship.
Are you saying that if a lodger moves into a house and wants say SKY but the owner doesn't and the lodger offers to pay to have it put it for his benefit only and to pay the bill that the owner should declare the income even though they have no use of/ for it? - Yes
Would it make a difference if the lodger was say a sports writer and needed SKY sport for his work. He could infact claim it as an expense as long as it was deemed totally and exclusively necessary.
There's some allowance for expenses if not using the rent a room scheme0 -
exactly the point i am making!
paying bills is nothing at all to do with income.
just for the record. she isn't my 'carer' ( the term makes both of us cringe )
she helps me with sight related issues only, and i am perfectly capable of seeing to my own personal needs.
the reason her phone is in my name is because as a longstanding customer, i was given a mobile offer that my PA was not able to access
Right, but that's neither here nor there, as she's not a lodger.0 -
from HMRC
For the purposes of the rent-a-room scheme, gross receipts include not only rents but also payments made to the taxpayer for the provision of any other goods or services (such as meals, cleaning, laundry etc) in connection with the letting.
So yes, the payment for Sky TV would be 'income'.
However, the cost of the service provided would be an allowable expense.
Just as payment for breakfast would be income but the cost of providing the breakfast would be an allowable expense.
Allowable expenses aren't allowed with the rent a room scheme.
it is possible to not use rent a room, but then 20% gross (or 40% for higher bracket) would be payable - less expenses0 -
thats payments made to the taxpayer.
if the payment is made directly to the utility provider, then the 'taxpayer' is receiving nothing but the rent
the taxable income is in return for services.
the landlord isn't providing the service, the utility company is.
unless the landlord has a huge wheel that they run around in to produce the electricity 0
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