Marriage Allowance: A Million Couples Are Missing Out!
Are you married or in a civil partnership?
POSTED BY HELEN BEAUMONT ON 21/09/2018 @ 8:00AM
Tax is something we all have to pay, but if you're a married couple, or in a civil partnership, you could be missing out on the Marriage Allowance that could be worth up to £238 a year ...
If you're not claiming the Marriage Allowance then you're missing out!
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The Marriage Allowance is aimed at couples with one major source of income. With backdated payments, you could claim up to £662, but there is a lot of criticism that it's not easy to claim.
"Which is why a regular, expert tax review is important from time to time!"
The Government has said that the online application form takes only 10 minutes to fill out and that over 3 million couples have already successfully applied for it, but there's still a lot of couples who are missing out.
Financial Secretary to the Treasury, Mel Stride said, "This is a really important tax relief and reflects the social importance of marriages and civil partnerships. I'd urge those that haven't yet managed to claim the money to do so right away."
The Marriage Allowance works like this:
Partners must either be married, or in a civil partnership
One partner needs to be earning at least £11,850 a year, and paying tax at the basic rate of 20%. If he or she is earning over £46,350 (£43,430 in Scotland) they are not eligible
The other partner must be earning less than £11,850 in 2018-19, meaning they pay no tax
If the above conditions are satisfied, the partner not paying tax can transfer 10% of his or her tax allowance to a partner, so saving £238 in this tax year
Back-claims can be made for previous years.
You may feel that the Marriage Allowance is quite discriminatory against those not in a legally recognised relationship, but the Government believes that marriage and civil partnerships provide a more stable family environment so want to reward those couples who have made a legal commitment to each other.
"Would you like to know more?"
If you'd like to find out more about the Marriage Allowance, or maybe arrange a full tax review for you and your spouse, then do give me a call on 01908 774323 or click here to ping me an email and let's see how I can help you.
Until next time ...
If you're looking to work with an expert tax advisor with a wide range of tax experience, do visit www.essendontax.co.uk to find out more about me and discover how I can help!
Helen brings the personal tax planning experience of the top 20 tax companies to Essendon. Formerly of MacIntyre Hudson (with 45 offices nationwide), Helen worked at Chancery for more than 10 years before joining Essendon as the personal tax specialist.
Tax Planning can make a considerable difference to your tax liability. Helen’s specialist knowledge in tax planning and experience ensures every opportunity to minimise your tax bill is utilised. By analysing your investments, income, profit and expenditures, Helen will provide strategic tax planning expertise that could offer significant savings, whilst delivering clear, honest advice and guidance.
When Helen is not at Essendon she spends time with her young son and likes going on long walks with the family dog.