Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Oct 31, 2019 1:51:25 AM

Our parents moved in our home and pay rent do i need to claim this as rental income?

0 2 17288
2 Replies
Level 15
Oct 31, 2019 1:51:26 AM

If you are charging rent to a family member and not earning a profit or your expenses exceed the income you receive for rent, you do not have to claim this as income. CRA considers this to be a "cost-sharing arrangement" and does not require you to report the income, nor will they allow you to claim a "rental loss" for this.

This CRA document explains it quite well as "Renting Below Fair Market Value: https://bit.ly/2ON8b4T

New Member
Apr 12, 2021 5:09:25 PM

Do you know if your Parents can still claim the rent they pay if you don’t claim the income because it’s just enough to pay taxes and insurance?  I don’t see ever making any money in my situation, it’s just breaking even with the expenses if not loses.  If they can’t then  I will claim it and expenses even if it breaks even so they can claim the rent they pay.  Any insight is appreciated.