Andy

Dear HMRC, I would like clarification on the difference between a lodger and a tenant for Capital Gains Tax purposes when renting out a bedroom in my home. Specifically, I am interested in how this distinction affects eligibility for Private Residence Relief (PRR) and Letting Relief. After reading the guidance here: https://www.gov.uk/tax-sell-home/let-out-part-of-home , I noticed some potential confusion. - At the beginning, it states: “You are not considered to be letting out your home if you have a lodger who shares living space with you.” - Later, it gives an example: “You rent out a large bedroom to a tenant. The bedroom amounts to 10% of your home.” I had assumed that when the owner lives in the property and rents out a room, the renter would be considered a lodger, not a tenant. Could you please clarify what differentiates a tenant from a lodger in this context? Regards Andy