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Where Taxpayers and Advisers Meet

pay my 14 years old daughter salary from rental incom

maysani
Posts:25
Joined:Tue Nov 29, 2011 6:35 pm
pay my 14 years old daughter salary from rental incom

Postby maysani » Sat May 18, 2024 9:04 am

can I pay my 14 years old daughter salary from my buy to let rental income. if so,
1- how much I am allowed to pay her?
2- how to declare it in my tax return?
she is heling me with running the properties which are all in my sole name.

bd6759
Posts:4345
Joined:Sat Feb 01, 2014 3:26 pm

Re: pay my 14 years old daughter salary from rental incom

Postby bd6759 » Sat May 18, 2024 7:59 pm

You can pay her a wage commensurate with what she does, which is unlikely to be very much.

D&C
Posts:173
Joined:Mon Nov 25, 2019 11:35 pm

Re: pay my 14 years old daughter salary from rental incom

Postby D&C » Sat May 18, 2024 8:14 pm

And if she either has an existing job (however small) or you ever pay her £113 in a week then you will have to register as an employer and file Real Time Information reports to HMRC.

maysani
Posts:25
Joined:Tue Nov 29, 2011 6:35 pm

Re: pay my 14 years old daughter salary from rental incom

Postby maysani » Mon May 20, 2024 3:44 pm

my daughter does not have another job. she is full time secondary school pupil. She helps with answering the phone, texting while I am driving. cleaning , decoration.
what is the minimum I can pay her without registering as an employer

Jholm
Posts:387
Joined:Mon Mar 11, 2019 4:22 pm

Re: pay my 14 years old daughter salary from rental incom

Postby Jholm » Mon May 20, 2024 3:59 pm

Are you actually wanting to pay her or just reduce profits you are charged to tax on?

I can't see HMRC liking this much to be honest.

bd6759
Posts:4345
Joined:Sat Feb 01, 2014 3:26 pm

Re: pay my 14 years old daughter salary from rental incom

Postby bd6759 » Mon May 20, 2024 6:10 pm

Ask yourself one simple question. If your daughter didn’t do those tasks, would you employ someone else to do them?

maysani
Posts:25
Joined:Tue Nov 29, 2011 6:35 pm

Re: pay my 14 years old daughter salary from rental incom

Postby maysani » Tue May 21, 2024 3:00 pm

Ask yourself one simple question. If your daughter didn’t do those tasks, would you employ someone else to do them?
the honest answer, no I would not
my daughter does not have another job. she is full time secondary school pupil. She helps with answering the phone, texting while I am driving. cleaning , decoration.
what is the minimum I can pay her without registering as an employer
yes that is the aim

maysani
Posts:25
Joined:Tue Nov 29, 2011 6:35 pm

Re: pay my 14 years old daughter salary from rental incom

Postby maysani » Tue May 21, 2024 3:02 pm

Are you actually wanting to pay her or just reduce profits you are charged to tax on?

I can't see HMRC liking this much to be honest.
yes that is the aim, just reduce profits you are charged to tax on?

bd6759
Posts:4345
Joined:Sat Feb 01, 2014 3:26 pm

Re: pay my 14 years old daughter salary from rental incom

Postby bd6759 » Thu May 23, 2024 10:46 pm

Ask yourself one simple question. If your daughter didn’t do those tasks, would you employ someone else to do them?
the honest answer, no I would not
Then it’s unlikely the cost is wholly and exclusively for the purposes of your business.

But that is not to say you can’t pay your daughter for genuine tasks. If she spends 3 hours with you cleaning the house, then a reasonable hourly rate could be applied. And that would be in addition to any pocket money or allowance she would get regardless of the work.

As always, keep it reasonable and justifiable.


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