Reply to: Renting a Room but Can I Claim expenses?`

[LisaContractorUmbrella]

Have to agree with TheFaqqer and NW - you are on dodgy ground here and I would certainly not have allowed the expense in the circumstances; the tenancy agreement proves nothing as it could be broken easily and the utility bill is irrelevant. At the end of the day, if HMR&C questioned you about the expense you would not be able to prove that you incurred the cost or that the cost was wholly and exclusively a business expense. You need to be aware that your umbrella company will not reimburse you any additional tax liabilities if HMR&C decide that they got it wrong

[Nixon Williams]

just to let you all know that my tenancy agreement I made with my landlord when I moved in, along with a utility bill in my name for my permanent address was enough for the umbrella company for me to claim my monthly rent expense which is paid in cash

Whilst I am not aware of all the circumstances in what you have described, I would be careful in assuming that all is ok.

A few umbrella companies have faced large bills due to their interpretation of the tax rules on expenses, indeed HMRC could equally challenge your tax return on the basis that you have claimed tax relief on an item that is not accepted.

Tread carefully.

Alan

[TheFaQQer]

just to let you all know that my tenancy agreement I made with my landlord when I moved in, along with a utility bill in my name for my permanent address was enough for the umbrella company for me to claim my monthly rent expense which is paid in cash

And, of course. they indemnified you against any later tax due if HMRC disallows this?

[bathingape]

just to let you all know that my tenancy agreement I made with my landlord when I moved in, along with a utility bill in my name for my permanent address was enough for the umbrella company for me to claim my monthly rent expense which is paid in cash

[LisaContractorUmbrella]

You would need a receipt to support this claim, whether through a brolly or through a Ltd - you need to have some way of proving 1. that you have incurred a cost 2. that it is a business related expense; if your landlord is operating legitimately he should have no problem providing a receipt.

[thefox1]

Chilled

Just trying to help the user who asked the initial question. Wasn't sure about the nerd icon. Maybe ban them all (the icons that is).

[TheFaQQer]

Sorry. I'm new on all this!

Course you are

[kingcook]

Sorry. I'm new on all this!
Chill.

Chilled

[thefox1]

You mean the icon? That's me calling me a nerd for knowing about the Rent a Room scheme

Sorry. I'm new on all this!
Chill.

[kingcook]

Confused. Didn't like been called a nerd for stating facts and raised the issue with the other bloke, then mods deleted all my posts.

You mean the icon? That's me calling me a nerd for knowing about the Rent a Room scheme

[thefox1]

Why did the reply I just tried to make to fox1's post get some weird moderation message?

Confused. Didn't like been called a nerd for stating facts and raised the issue with the other bloke, then mods deleted all my posts.

[Spacecadet]

Why did the reply I just tried to make to fox1's post get some weird moderation message?

[TheFaQQer]

Might be best to let the landlord know about the government's Rent a Room scheme

The Rent a Room scheme : Directgov - Money, tax and benefits

That only works if it's the main residence of the landlord.

[kingcook]

Not interested in an argument. My umbrella at the time accepted my tenancy agreement. As said, the umbrella experts will confirm.

Argument? Errrrrrr.......

[kingcook]

Might be best to let the landlord know about the government's Rent a Room scheme

The Rent a Room scheme : Directgov - Money, tax and benefits