55 Pa. Code § 181.272

Current through Register Vol. 54, No. 25, June 22, 2024

Section 181.272 - Profit from self-employment

Profit from self-employment is counted as earned income. Self-employment includes, but is not limited to, operating a business or farm, practicing a profession, renting nonresident real property, renting rooms or apartments contained in the resident property and providing board. Profit from self-employment is determined using one of the following methods:

(1) From self-employment gross receipts, the verified costs to the applicant/recipient of producing or continuing the income are deducted. For NMP-MA categories, depreciation, personal business and entertainment expenses, personal transportation, purchase of capital equipment and payments on the principal of loans for capital assets or durable goods, are not included in the deductions.

(2) From renting rooms or apartments contained in the resident property and providing board to tenants and providing room and board to tenants, the following amounts are deducted from the gross receipts:

(i) From total room and apartment rent, $10 plus an amount equal to 50% of the remainder.

(ii) From board payments, the maximum food stamp coupon allotment for the household size equal to the total number of boarders.

(iii) From room and board payments, 40% of the total gross payment added to the maximum food stamp coupon allotment for the household size equal to the total number of roomers and boarders.

(iv) If there are roomers, boarders and room and boarders, the following amounts are deducted from the gross receipts and the results are added to determine the profit as follows:

(A) From total room or apartment rent, $10 plus an amount equal to 50% of the remainder.

(B) From room and board payments, 40% of the total room and board payment.

(C) From board payments and the balance of the room and board payments after the deduction in clause B, the maximum food stamp coupon allotment for the household size equal to the total number of boarders and room and boarders.

55 Pa. Code § 181.272

The provisions of this § 181.272 adopted August 26, 1988, effective 11/1/1988, 18 Pa.B. 3949.

The provisions of this § 181.272 issued under section 403(b) of the Public Welfare Code (62 P. S. § 403(b)).

This section cited in 55 Pa. Code § 181.452 (relating to posteligibility determination of income available from an MA eligible person toward his cost of care).