Marriage Transfer Allowance Adjustments

The government have slightly adjusted the way you claim the marriage transfer allowance.

I have a knowledge base article on the basics here >>> https://bit.ly/43tMNUn

As a quick recap, it is a way that married couples (and civil partners)  can save up to £250 in tax. If one person earns less than £12570, they can transfer 10% of their personal allowance to the other person, provided they are a 20% taxpayer, not if they are a 40 or 45% tax payer.  It is a 10% transfer or nothing. You cannot transfer less or more.

Just think what the £252 can be used for – woo hoo.

The lower-income person has to claim the amount either on their tax return or via HMRC. They have made it a lot easier now in that there is an online process (https://bit.ly/3OJaXWE ) or you can complete a form and post it to HMRC https://bit.ly/3WBJlos  .

The online version requires you to log into your government gateway/online tax account, so if you don’t have one, you cannot use it. Using the form allows you to claim for a number of years in one go, so for most people, this is the only option.

Of course, you could phone HMRC but make sure you have other things to do for a while whilst you are on hold.