Claiming Marriage Allowance

There are still over one million not claiming marriage allowance despite it being recommended by HMRC. They also estimate that of all eligible couples, one in four have not made a claim.

Marriage allowance is available to married couples or civil partners. This allows an individual to transfer their personal allowance of up to £1,190 to their partner that earns more than them.

In order to be eligible for the allowance, the transferring partner’s income must not exceed £11,850 and the higher earner must not  be a higher rate taxpayer.


Tax Saving

Making this claim increases the higher earner’s personal allowance by the amount transferred. The maximum tax saving for the higher earning couple will therefore be £238 for 2018/19 (£1,190 x 20%).

The claim can be backdated to 2015/16 which can be worth up to £900. It will need to be made by 5 April 2019 or the allowance for 2015/16 will be lost for good.