ATO Community

Domestic arrangement and Centrelink

This post is archived and may not be up-to-date.

Newbie

Views 1236

Replies 1

Hi,
My niece is looking to rent a room from us. From what I can understand this will come under domestic arrangement and we don’t have to worry about tax, we would not be worried about claiming expenses. Her board will only just cover the costs.
She receives a Centrelink payment living away from home and going to UNI. Will going under a domestic arrangement impact her Centrelink payments? She thought she may have to do a rental agreement but if we do that won’t we have to lodge it as income? Trying to help her out but don’t want a messy tax arrangement or for her to lose her Centrelink payments as she needs them.
Thanks
1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

Taxicorn

Replies 0

If she is only paying board and lodgings through a domestic arrangement then it will have no impact on your tax return.

 

Board = Meals

Lodgings = Accomadation

 

Centrelink will look at the Lodging part, if it can't be separated then it will use two-thirds of the total amount you pay.

THi is for receiving rent assistance, is she receiving rent assistance?

 

https://www.humanservices.gov.au/individuals/services/centrelink/rent-assistance/eligibility-payment...

1 REPLY 1

Most helpful response

Taxicorn

Replies 0

If she is only paying board and lodgings through a domestic arrangement then it will have no impact on your tax return.

 

Board = Meals

Lodgings = Accomadation

 

Centrelink will look at the Lodging part, if it can't be separated then it will use two-thirds of the total amount you pay.

THi is for receiving rent assistance, is she receiving rent assistance?

 

https://www.humanservices.gov.au/individuals/services/centrelink/rent-assistance/eligibility-payment...