The Marriage Allowance #AskAMS

Find out if you qualify for the Marriage Allowance; the rules and how to claim it.

Many couples are unable to benefit from the Marriage Allowance; AND the maximum benefit is only £220 (2016/17).  But – it’s simple to calculate and to claim.

It is for Married Couples and Civil Partnerships where one is a Basic Rate Taxpayer (taxable income £11,000 - £43,000) and the total income for the spouse is below £11,000 (the Personal Allowance).

In this situation, the person with the lower income can transfer up to £1,100 of their unused Personal Allowance to their spouse which – potentially – will save the higher earning spouse up to £220 in income tax (20% x £1,100).

Claim online at HMRC and backdate the claim to the start of the current tax year.  HMRC will then either issue a higher tax code to the person receiving the Marriage Allowance, or, if that person is self-employed, the Marriage Allowance will be given via their Self-Assessment tax calculation.