The registration for the Marriage Allowance has opened which allows married couples and civil partners to cut their tax bills, saving up to £252 per year!
Having got married a few years back (I still can’t get over that Skint Mum handmade 1,000 origami cranes!), I didn’t think there was anything else that could make me happy – until I heard about the tax relief!
Now, I didn’t just get married because of the Marriage Allowance, in fact, I didn’t get married because of the tax allowance at all but it sure is a useful thing!!
It’s simple (which I didn’t think I’d hear myself say about tax!).
If you earn less than £12,570 in the next tax year you are able to transfer £1,260 of your personal tax allowance (the amount of income you get before you pay tax) to your other half.
Their tax bill will then be reduced by up to £252 per year!
You will be able to transfer £1,260 of your allowance if:
- you’re married or in a civil partnership
- you have to have an annual income of less than £12,570 – including pensions, savings and investments
- your spouse or civil partner has to have an annual income of between £12,571 and £50,270 (or £12,571 and £43,662. in Scotland)
The Marriage Allowance started running on 6 April 2015 and you can apply for it now.
All you need to do to register is enter your name and email.
What’s even better is you only need to apply once and your spouse or civil partner won’t need to register or apply.
Forgot to apply before?
Don’t worry :)
If you forgot or didn’t know about Marriage Allowance until today, you can backdate your claim to include any tax year since 5 April 2017.
This could mean a few years of back payments, which I’m sure would help!
It may not be the full £252 that’s saved and it’s all dependent on individual circumstances, but every little helps, hey?
Are you going to take advantage? Perhaps now is a good time to pop that question and get in those good (accountant’s) books?