HMRC issues marriage allowance reminder

Feb 14, 2022

HMRC is using Valentine's Day to remind married couples and civil partnerships they may be able to share their personal tax allowances to reduce their tax bills.

Spouses and civil partners can sign up to the marriage allowance if one partner's income is under the personal allowance (£12,570 in 2021/22) and the other is a basic-rate taxpayer.

Eligible couples can transfer 10% of their tax-free personal allowance to their partners, worth up to £1,260 in 2021/22) meaning they can reduce the tax they pay by up to £252 a year.

Couples can apply any time and backdate their claims for any of the four previous tax years.

Angela MacDonald, deputy chief executive and second permanent secretary at HMRC, said:

"Couples could be sitting on a tax relief worth up to £1,220 that could provide vital financial support at a time they need it most.

"More than two million couples have applied for the tax relief since it was launched in 2015 but there could be thousands more who are eligible to claim."

Talk to us about the marriage allowance.

Free on-boarding process

Instant communication

Accounting made simple

Give us a shout

We’re here to talk, whenever you want.

AccountingWeb logo