Share-A-Flat

30-11-1999

Tax Benefits

Calling all live-in Landlords and flatmates Tax Benefits from Renting a Room!!!

Rent out a room and earn up to £4250 Tax Free Income (£2,150 if letting jointly).

This Government programme is designed to encourage people to take in Lodgers. It’s got the snappy title of ‘Rent a Room Scheme’ and this is how it works:

• You rent out a room or part of your main property. This can be any size room or even a whole floor, but not a self-contained flat.
• The room needs to be furnished to qualify.
• It doesn’t matter if you don’t own the property; if you have your Landlord’s agreement, you can take advantage of the scheme as a tenant.
• Now for the paperwork- if you don’t normally fill out a tax return and the annual income from renting a room is below £4,250 you don’t have to complete any forms, the exception is automatic.

For more information, please find the following links :

Directgov: Rent a room scheme

HMRC: Rent a room scheme