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Posted Tue, 16 Jan 2024 19:34:54 GMT by Su Chat
I'm a live in landlord with 2 housemates (2 separate agreements). I want to calculate my tax liability as receipts less expenses method going forward (and not claim the £7500 rent a room allowance). How should expenses be calculated - e.g. council tax, broadband, any repair costs such roof repair - can I claim 2/3rd of them as expenses, as there are 3 people in flat including me?
Posted Fri, 19 Jan 2024 11:40:06 GMT by HMRC Admin 25
Hi Su Chat,
You would only claim the expenses relating to your share of the property.
Thank you. 
Posted Fri, 19 Jan 2024 11:48:54 GMT by Su Chat
Hi, that's really strange advice. So my personal expenses will be considered "expenses" for renting, where as share of expenses spent on "lodgers" are not expenses? Surely, it's the other way around? My personal expenses are not expenses, whereas share of expenses of lodgerd that I spent, are deductible? Please confirm.
Posted Mon, 22 Jan 2024 13:53:57 GMT by HMRC Admin 8
Hi,
You have two options available.
If you meet the conditions and claim the rent a room relief - method A then you are allowed to receive income up to £7500 in a tax year which would be tax free.You cannot however deduct any  expenses if you use this method.
You can use the method B rather then rent a room relief which is rents received minus expenses wholly incurred for the property business.
However if this income after expenses is over £1000 then it would be chargeable to tax.
You have mentioned 'personal' expenses. I assume you mean expenses you solely incurred in relation to the property business.
HS223 Rent a Room Scheme (2023)
Thankyou.
Posted Sat, 17 Feb 2024 22:36:17 GMT by Su Chat
Hi, please answer the question asked. I have clearly said I don't want to use and not claim the £7500 rent a room allowance, and instead want to use method B. I don't understand why you are still informing me about method A. Please read the question again. I have 2 flatmates who pay rent to me (live in landlord) and I pay all the bills for the flat. E.g. the bills are £100, should £33.3 (1/3rd) be considered as my private expense, and therefore not deductable as expenses for tax purposes, and remaining £66.6 should be considered renting related expense and deductable expense for tax purposes? Im am enquiring regarding the ratio in which I can separate the expenses+please kindly don't get confused and refer me to something that I haven't asked about).
Posted Tue, 20 Feb 2024 11:43:21 GMT by HMRC Admin 8
Hi,
We apologise for any confusion caused. Please proceed using Method B and quote only the share of expenditure your tenants suffer againsst rent collected as you stated. 
Thank you.

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