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8 June 2026

Hi I have split with my partner and i am thinking of moving into my parent's home as they have both gone into aged care.


My ex-daughter in law, her sister and my granddaughter are thinking of moving in with me and will likely pay me some money to stay there, as well as contribute to some of the bills.


I'm not doing a lease or asking for a bond.


Will I need to declare this as income in my tax and will my ex-daughter in law be able to get rent assistance seeing as she's not really renting from me and doesn't have a lease.


I haven't worked out definite numbers but they will probably be paying up to $750 a week between them.

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Taxduck(Taxicorn)Taxicorn
8 June 2026

"...will likely pay me some money to stay there,"


By your own admission this appears to be an income earning activity. ATO would regard this as assessable income. As below

Taxable, assessable and exempt income | Australian Taxation Office

Have a look at the information on domestic arrangements

Rental income you must declare | Australian Taxation Office

If the arrangement is such that you and they are sharing household expenses then the income would not be assessable.

As for rent assistance, can't provide a useful answer there. Services Australia (Centrelink) is responsible for administering this, not the ATO.

RachelATO(Community Moderator)Community Moderator
9 June 2026

Hi @Username1960,


The answer depends on whether your arrangement is considered domestic (cost-sharing) or income‑producing (rental).


A domestic arrangement typically involves family members or friends contributing to the cost of meals, utilities and accommodation (rather than paying commercial rent).


However, even without a lease or bond, an arrangement can still be treated as rental income, if it effectively gives someone the right to occupy part of your home in return for regular payments.


The amount you’ve mentioned (around $750 per week) is relatively substantial. If the payments exceed the actual household costs or start to look like market rent, it’s more likely to be income‑producing, meaning you would need to declare it in your tax return.


For your ex‑daughter‑in‑law’s Rent Assistance question, Services Australia will look at her eligibility based on her circumstances and whether she has a genuine liability to pay rent. 

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Declaring income from Lodgers | ATO Community