Can anyone advise what the tax implications
None. If they are living in your house they are a licensee and basically a paying guest who can be told to leave at your whim.and RTB registration requirements for me would be if I lived in my home and rented to two tenants.
It is combined rent plus any other charges such as bills, bins etc that that total should not exceed 14k to remain exemptIt can be more than one tenant but once the combined rent is below €14,000 you are completely tax exempt under the Rent a Room Scheme.
Rent a room is very straightforward & I dont know anyone doing it who needs legal or tax advice all other things being equal.You first need legal advice. Then you may need tax advice
Rent a room is very straightforward & I dont know anyone doing it who needs legal or tax advice all other things being equal
Oddly enough the OP has himself admitted to being confused on several key points. The combination of the rent a room tax and RTB exemptions is very valuable and it would be an absolute shame if confusion on a key point would either disadvantage the OP or cause them avoidable stress in the event of a later complication.Rent a room is very straightforward & I dont know anyone doing it who needs legal or tax advice all other things being equal.
As mentioned, your sharers are not tenants and have the legal status of guests. Keep under 14k a year and you have no tax to pay on the income.
OP takes in €14,000 a year or under from a licensee or licensees living in spare rooms of a large house along with OP. Rent is all documented and declared to Revenue in beer the RaR scheme.in the event of a later complication.
Indeed, but with a bit of research & asking questions of the helpful folks here, I'm pretty sure the OP can get sorted.OP has .. admitted to being confused on several key points
An example would be a licensee claiming to be a tenant and seeking RTB protection under tenancy legislation because they have in their possession a document from the home owner using the terms landlord and tenant.Seriously, what complication is possible?
Don't listen to your friend who hasn't a clue. I'm amazed you need to consult a tax advisor as the scheme is very simple. Also where did you search online, it's one stop google searchHi folks,
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Can anyone advise what the tax implications and RTB registration requirements for me would be if I lived in my home and rented to two tenants. My understanding was that the rent a room scheme relief only applies to renting to one tenant which has to be below €14,000 per year to avoid being taxed however a friend stated if you are a live in landlord the rent a room relief would apply to both tenants or licensees. Being honest i’m lost with the tax implications and friend has just verbally stated this I have no evidence to back it up but it is something I may have to consider as cash is becoming tight and house is not selling. Any advice on the tax implications of renting to two tenants would have? I’ve searched online but can’t find the right information. I will follow up with a tax advisor but here has always been a wealth of information.
I very much doubt a solicitor would have one clue about legal advice on Rent a Room. Tax advisors would only be able to inform their clients on where to put the rent into the tax form.Oddly enough the OP has himself admitted to being confused on several key points. The combination of the rent a room tax and RTB exemptions is very valuable and it would be an absolute shame if confusion on a key point would either disadvantage the OP or cause them avoidable stress in the event of a later complication.
Really?I very much doubt a solicitor would have one clue about legal advice on Rent a Room.
Just one wee question.With regard to ["so dont be adding on esb bills etc"]does anyone know if the licensee has an option not to add on the esb bills,utility bills.etc.and thus the 14k refers to chargeing rent only without chargeing the licensee for esb utilities etc..Thanks.Don't listen to your friend who hasn't a clue. I'm amazed you need to consult a tax advisor as the scheme is very simple. Also where did you search online, it's one stop google search
All the details you need there and it's pretty simple. There are even very clear worked examples.
Basically make sure the rent does not exceed 14K per annum (so don't be adding on esb bills etc) declare the rental on your tax return and don't register with the RTB.
On a practical side, I'd give the tenants a separate living room and bathroom etc. And make a list of House Rules.
What extra rights do they get if you call them a tenant?Until things go wrong.
If the agreement calls them a tenant, they have more rights than if you call them a licencee.
It is best to be very clear on these documents.
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