I won’t be charging him rent but I’m not sure if I’ll have to pay tax on his share of costs
Q I currently own a flat in London and my boyfriend of two years is due to move in with me soon. I won’t be charging him rent but we will split the utility bills and all utility costs.
It makes sense for me to keep the bills in my name and have him pay me 50% of the bills in total. Is any of this taxable and does this sound like the best method? I’m not sure if it’s better to somehow divide the bills at the provider sources.
HD
A Splitting the bills down the middle sounds perfectly sensible and having your boyfriend pay you rather than the supplier doesn’t mean that you’d have to pay tax on his contribution. Keeping the bills in your name is also reasonable but you will need to let your local authority know that your boyfriend has moved in to ensure that you pay the right amount of council tax (the bill will go up).
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