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Posted Tue, 14 May 2024 19:10:23 GMT by Tara Swain
If a group of 4 friends own a home together, how much income can they each individually get, tax-free, from a lodger under the rent-a-room scheme? Is it £3750 x 4 = £15,000? (The guidance only specified what happens if there are two homeowners.)
Posted Wed, 15 May 2024 15:36:34 GMT by HMRC Admin 2 Response
Hi,

To qualify for Rent-a-room allowance, each of the part-owners must individually qualify for the allowance. They must live in the property, so should be their only or main residence and not live elsewhere.

If they qualify under these conditions, each qualifying owner can claim £3750. 

Thank you.

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