Tax relief for paying parents weekly

just an update on this one, I rang the revenue who confirmed that as I pay my parents rent I am entitled to claim rent relief, and they are covered tax wise under the rent a room scheme as the rent I pay them is under the threshold

I backdated my claim to 2002 and have received a tax refund of €1050 so Im chuffed!!!
 
tml said:
just an update on this one, I rang the revenue who confirmed that as I pay my parents rent I am entitled to claim rent relief, and they are covered tax wise under the rent a room scheme as the rent I pay them is under the threshold

I backdated my claim to 2002 and have received a tax refund of €1050 so Im chuffed!!!
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What position does it leave your parents in? Are they liable in any way, or were they already registered for the Rent a Room Scheme?? If not, what is their position now? Are they in trouble for receiving rent and not declaring it?
 
You don't "register" for the rent a toom scheme but you do have to file returns in respect of the rent a room income even if, assuming that it's below €7,620, is tax free. Did your parents do this?
 
ClubMan said:
You don't "register" for the rent a toom scheme but you do have to file returns in respect of the rent a room income even if, assuming that it's below €7,620, is tax free. Did your parents do this?
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I asked if they registered for rent a Room?:D File a return is actually what I meant. They can do it this year but not as far back as the OP claimed??
 
liteweight said:
I asked if they registered for rent a Room?:D File a return is actually what I meant. They can do it this year but not as far back as the OP claimed??
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You can claim back as far as April 01. 50 Euro a week is the max that you can claim it on. I know people that have claimed and received various amounts depending on how how they've been working. My boyfriend claimed earlier in the week and the said the cheque will be out within 10 days. They estimated it to be in the region of 2000 Euro. Not bad eh?
 
No my parents did not file tax returns in previous years in relation to this, but they are in the process of doing this now and will not be liable for any tax as the rent they received each year was under the €7620 threshold
 
momomo said:
and do your parents have to declare this to the tax man?
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Not up to €7620. You do need your parents PPS numbers though but it doesn't affect them at all. They confirmed it with the Revenue before he went up with the form. He had to physically hand it in himself to them.
 
tml said:
No my parents did not file tax returns in previous years in relation to this, but they are in the process of doing this now and will not be liable for any tax as the rent they received each year was under the €7620 threshold
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Can RaRS be claimed in such a manner? I've never heard of this (or read of it) before.

roxy said:
You do need your parents PPS numbers though but it doesn't affect them at all.
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Technically the form asks for a PPS number but, I'm guessing as a result of some landlords refusing to give it, Revenue will process it with just the contact details of the landlord and no PPS.
 
momomo said:
Oh thats brilliant roxy
and I claim back to 2001?
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Yes just from April though. Mad isn't it, I mean why is everyone not doing it? One guy I know of only worked a summer job last year and got nearly €400 back from them. Every little helps!
 
Satanta said:
Technically the form asks for a PPS number but, I'm guessing as a result of some landlords refusing to give it, Revenue will process it with just the contact details of the landlord and no PPS.
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Yes I'd say you're right there, it just seems to be a technicality.
 
Whats the name of the form again?
Ill print it off asap for myself and my brother.
Yea strange how everybody isnt doing it
 
momomo said:
Whats the name of the form again?
Ill print it off asap for myself and my brother.
Yea strange how everybody isnt doing it
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Links to the form and all the details are on this thread already.

Details including warnings about claiming for years that parents didn't submit the additional income to revenue. The Rent A Room Scheme makes it tax free, but to be tax compliant it must be declared. I've yet to see anything which says you can apply for Rent a Room for previous years! Do get a clarification from Revenue that your parents applying for RaRS back to 2001 is ok, I have my doubts. Also, technically, it is tax evasion if you have not been paying rent during the time you claim.
 
momomo said:
Whats the name of the form again?
Ill print it off asap for myself and my brother.
Yea strange how everybody isnt doing it
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Yep print them off and actually go into the Revenue with them completed. Remember you'll have to half the €7620 allowance with your brother you can't both claim to have paid such an amount.

Or you could keep it for yourself and tell him you got lucky on a horse :p
 
Satanta said:
Links to the form and all the details are on this thread already.

Details including warnings about claiming for years that parents didn't submit the additional income to revenue. The Rent A Room Scheme makes it tax free, but to be tax compliant it must be declared. I've yet to see anything which says you can apply for Rent a Room for previous years! Do get a clarification from Revenue that your parents applying for RaRS back to 2001 is ok, I have my doubts. Also, technically, it is tax evasion if you have not been paying rent during the time you claim.
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It really is ok Satanta, they checked it all out with Revenue first. We had doubts too but it's all good, honestly.
 
roxy said:
You can claim back as far as April 01. 50 Euro a week is the max that you can claim it on. I know people that have claimed and received various amounts depending on how how they've been working. My boyfriend claimed earlier in the week and the said the cheque will be out within 10 days. They estimated it to be in the region of 2000 Euro. Not bad eh?
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Sorry Roxy...I meant the parents couldn't back date tax returns!:eek: I know we can usually claim back tax up to 4 years. Correct me if I'm wrong but I thought it was illegal not to file a return if you've been in receipt of money, not whether tax was due on it or not??:confused:

If this is the case, then the parents failed to make returns ...would any action be taken on this by Revenue???
 
liteweight said:
Sorry Roxy...I meant the parents couldn't back date tax returns!:eek: I know we can usually claim back tax up to 4 years. Correct me if I'm wrong but I thought it was illegal not to file a return if you've been in receipt of money, not whether tax was due on it or not??:confused:

If this is the case, then the parents failed to make returns ...would any action be taken on this by Revenue???
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Not sure on this liteweight, I get confused by that kind of thing :D All I know is the Revenue told his mum that it was perfectly ok to go ahead with it, they would not be hit for anything.
 
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