Around three million couples across the UK have boosted their finances with the Marriage Allowance, according to new figures released by HMRC.
However, more than a million married and civil partnered couples are still eligible for the free tax break worth up to £238 a year. Couples can also backdate their allowance.
Applying for Marriage Allowance is simple. HMRC say the new online form takes fewer than ten minutes to fill out and those who are eligible will receive backdated claims of up to £662 as a lump sum.
Marriage Allowance lets you transfer £1,190 of your personal allowance to your husband, wife or civil partner if they earn more than you. This reduces their tax by up to £238 in the tax year (6 April to 5 April the next year).
To benefit as a couple, you (as the lower earner) must have an income of £11,850 or less. You can backdate your claim to include any tax year since 5 April 2015 that you were eligible for Marriage Allowance.
You can get Marriage Allowance if you’re married or in a civil partnership, you don’t earn anything or your income is £11,850 or less, and if your partner’s income is between £11,851 and £46,350.
To apply for the Marriage Allowance, visit the gov.uk website here. For help and support on any areas of tax and allowances, why not get in touch with the accountancy team here at Optimum.
