Under NHSS rental income is considered income for the purpose of the financial assessment, and is assessed at 80% less any allowable deductions. Allowable deductions include income tax and, therefore, any income tax arising from rental income should be deducted; other deductions include some health expenses, levies required by law to be paid, and interest on some loans in respect of a person’s principal private residence.
Action 17 of the Strategy for the Rental Sector commits the Department of Housing, Planning, and Local Government (DHPLG) to examine the treatment, under the Nursing Homes Support Scheme's financial assessment, of income from the rental of a person's principal private residence where they move into long term residential care. My officials are working with DHPLG officials and examining a number of possible options. I am not in a position, however, to provide detail on these as discussions and detailed examination are ongoing and any potential proposals have not been finalised.