Are You Claiming The Marriage Allowance?
HMRC are encouraging it ...
POSTED BY ROGER EDDOWES ON 08/10/2018 @ 8:00AM
The Marriage Allowance was introduced in 2015. It allows one partner in a married couple or civil partnership to transfer part of their tax-free allowance to the other partner ...
If you're not using the Marriage Allowance yet then you could be missing out!
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This is not an additional allowance, and you shouldn't confuse it with the Married Couple's Allowance, but it's undoubtedly worth claiming it if one partner can't use all of their personal allowance in a particular tax year.
"Up to four million couples will benefit from the Marriage Allowance according to HMRC!"
Three million have already claimed it, but if you are part of the one million who haven't then speak to your accountant or tax advisor as soon as you can.
In 2018/19, the Marriage Allowance is £1,190 which gives a maximum tax saving of £238. There are two conditions here, one is that you have to transfer the entire amount and the other is that neither spouse or civil partner will be taxed at the higher rate in that tax year.
You can claim now for the 2018/19 tax year and backdating maybe possible meaning you could get a tax refund. You can also claim retrospectively if one partner has died.
If you and your partner are not sure of your income levels in this tax year, you may wish to wait until the end of the year before you decide on making a claim for Marriage Allowance.
It's possible to claim the Marriage Allowance online, though I would recommend speaking to your accountant or tax advisor to be sure your eligible to claim and to help make the process easier.
"Would you like to know more?"
If you'd like to find out more about the Marriage Allowance then do give me a call on 01908 774320 or click here to ping me an email and let's see how I can help you.
Until next time ...
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Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves ‘getting his hands dirty’, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.