HMRC is urging couples to check if they’re eligible for Marriage Allowance
(Picture: Pablo Heimplatz / Unsplash)This Valentine’s Day, the Government is urging married couples to check if they could be eligible for Marriage Allowance which could help them save money.
Angela MacDonald, HMRC’s deputy chief executive and second permanent secretary,â¯said: “We want every eligible couple to benefit from marriage allowance tax relief.
“Couples whose circumstances have changed – perhaps one of them has stopped working or taken a lower paid job – may not realise they are entitled to claim.”
Find out below if your circumstances mean you could make a claim, and if so, how to apply.
What is Marriage Allowance?
Marriage Allowance is a benefit that some married couples are entitled to that can help them pay less tax. They could save up to £252 a year.
HMRC says that more than two million couples currently benefit, but that they estimate that thousands more are eligible, but don’t realise it.
People who may not realise that they’re eligible include couples where one partner has retired, has given up work to take on caring responsibilities, or is unable to work due to a long-term health condition.
Marriage Allowance allows people who earn less than £12,570 a year to transfer up to £1,260 of their Personal Allowance to their higher-earning partner, to reduce the amount of tax they pay.
It’s around 10 per cent of an individual’s tax-free personal allowance, and the maximum amount that can be transferred depends on the Personal Allowance for that year.
This claim can be backdated to April 6, 2018, which means they could receive £1,242 in tax relief.
Who is eligible for Marriage Allowance?
Couples could be eligible for Marriage Allowance if the following criteria applies:
- they are married or in a civil partnership
- they do not pay income tax, or their income is below the Personal Allowance of £12,570
- their partner pays income tax at the basic rate – which typically means their income is between £12,571 and £50,270
How to apply for Marriage Allowance
Apply online at GOV.UK for free.
Ms MacDonald said: “It’s easy to find out what you may be due - search ‘Marriage Allowance calculator’ on GOV.UK to get started.
“By applying on GOV.UK, rather than through a third party, you get to keep 100 per cent of the tax relief due.”
