Unpaid rent and bills

AstonMartin

My aunt rented a room to a tenant in a non owner occupied house and didnt check if they were paying rent into the bank or paying bills that were in my aunts name.

between rent and bills this previous tenant owes my aunt E2,400.

the limit on the small claims is E2,000.

can she take this previous tenant to the scc for E2,000 and write off the other E400?

the problem is she was not paying tax on the rent (elderly woman, genuine forgetfulness).

what are her options?

thanks.

the_syco

Pretty sure the SCC will be of no use, as the LL wants to sue the tenant. Pretty sure she'll need to go though the PTRB?

AstonMartin

She didnt register the tenant with the PRTB

Victor

If she was only renting the room, then the PRTB doesn't apply.

As your aunt is the business in this case, I don't think she can use the Small Claims Court. She may have to go to the District Court. She should talk to a solicitor.

Your aunt should regularise her tax affairs. Has she paid the NPPR charge?

not even wrong

AstonMartin wrote: »

the problem is she was not paying tax on the rent (elderly woman, genuine forgetfulness).

She has no options until she pays the Revenue any back tax she owes them. If she takes it to court without paying tax she runs the risk of the tenant reporting her to Revenue.

bath handle

earlyevening wrote: »

Surely rent a room scheme only applies in an owner occupied home. OP states it was a non owner occ house.

The PROB are only involved where a dwelling is rented. A room is not a dwelling.

AstonMartin

4 bedroom house rented to 4 students. The other 3 paid their rent and share of the bills.

so the only solution is the district court? What are the costs associated with this?

NPPR charge?

Victor

AstonMartin wrote: »

4 bedroom house rented to 4 students. The other 3 paid their rent and share of the bills.

so the only solution is the district court? What are the costs associated with this?

Application fee + solicitor if needed + ???. Those should be reimburdsed by the debtor.

NPPR charge?

https://www.nppr.ie/default.aspx

antoinolachtnai

The costs will only be reimbursed by the debtor (a) if they are below a certain level of allowed costs (b) if the debtor has any money (c) if the debtor pays and (d) if the creditor wins.

She will be able to offset her losses against the tax bill.