15 Dec 2016

Marriage Tax Allowance - Get up to £432 Tax Break

Marriage Tax Allowance
How sweet! But what's almost as sweet as love? FREE MONEY!

If you're married, you may be missing out on free money in the form of the Marriage Tax Allowance.

Most people think that the Marriage Tax Allowance is set up for them automatically when they get married; or their employer who should be responsible for making sure they pay the correct amount of tax, will do it for them. Wrong!

The onus is on you to apply. But don't worry, it's quick and straight forward to do and I'll show you how.

The Government wants you to get married, it gives stability to society, and they will reward you for it.

Here's How to Apply For Marriage Tax Allowance

First, Do I Qualify for Marriage Tax Allowance

1. You have to be married or in a civil partnership. Living together, even if it's been for years, isn't enough.

2. You're currently out of work or are unable to work for whatever reason; or your gross annual pay is less than £11k a year ie you're a Non-Tax Payer.

3. Your other half earns more than £11001 ie they are a Tax Payer, and less than £43k.

Answer yes to all three and you could make up to £432 for less than ten minutes work. Read on!

How Does Marriage Tax Allowance Work

Marriage Tax Allowance works by transferring £1100 of your Personal Allowance (the amount you don't pay tax on, the first £11000) to your partner. This will reduce their tax bill by up to £220 for every tax year (6th April to 5th April.)

Can I Get Backdated Marriage Tax Allowance

Good news, you can claim for last year too. The most you'll get is £432. In the year of launch 2015/16 the amount you could claim was £212, this has now been increased to £220 a year, so up to £432 total.

What Info Will I Need To Supply To The HMRC

  • You and your partner's National Insurance Numbers.

  • Proof of identity.

You'll need just one of the following:

  • Your p60 if you work
  • Your 3 most recent payslips
  • Your passport if you have one
  • Last four digits of a bank account that either pays you interest, or in to which you receive child benefit, family tax credits or a pension.

Is There A Deadline To Apply For Marriage Tax Allowance

No, the HMRC will change your current PAYE tax code to take it in to account.

How Often Do I Need To Apply

You only have to set it up once.

What If My Circumstances Change

Inform HMRC as soon as it happens. This could be for sad occasions like divorce or death of you or your partner, or happy occasions like you or your partner gets a better paid job. 

So How Do I Applying For Marriage Tax Allowance:

Click here to visit gov.uk/marriage-allowance and complete the questionnaire.

Anything Else I Should Know

1. Remember it's the Non-Tax Payer that makes the claim, so make sure to enter those details.

2. You have to transfer the whole £1100 amount, you can't transfer part of it.

3. Do the maths before you apply. If by reducing your tax allowance means you will now be paying tax, as a couple you will be getting a smaller tax break.

So that's my quick guide to making up to £432 by claiming the Marriage Tax Allowance. It's your money, you're entitled to it, so go get it! What difference would £432 mean to you? A holiday, maybe? Do let me know how you get on, and if you have any other tips you can share.

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About the Author


Author & Editor

Anthony is a SEO, Social Media and Money Saving Blogger | Business Development Manager | Husband | Father to a noisy toddler | Optimistic | Boundless Enthusiasm | Fortunate!

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