This article will cover some of the common questions we get asked about marriage allowance in the UK. If you have further questions just reach out via our contact us page 

Below are the questions we cover:

1. What is Marriage Allowance

2. What are the conditions for qualifying for Marriage Allowance

3. How does Marriage Allowance work

4. How to claim Marriage Allowance

5. How to claim marriage allowance for backdated years

6. How to claim marriage allowance if your partner has died

7. Can marriage allowance be transferred to a foreign expatriate living in the UK

What is Marriage Allowance?

Marriage allowance is a government scheme that is designed to give married couples an income tax-relief. This means that once recognised by the HMRC as married or in a civil partnership , you are entitled to either paying less tax, getting tax back or having it repaid to you in another way, such as into your pension account.

Although marriage allowance can be a good way for married couples and civil partners to save their money, there are a few conditions that qualify whether you are eligible or not for the allowance.

What are the conditions for Marriage Allowance?

There are a few conditions that need to be met in order to apply for marriage allowance in the UK.

1. One partner must be earning below the personal allowance – to find out the amount for this tax year visit our personal allowance threshold chart.

2. The other partner must be earning between a set amount – to find out the amount for this tax year visit our marriage allowance threshold chart.

3. You must be recognised by the HMRC as married or in a civil partnership

How does Marriage Allowance Work?

The scheme works by allowing one partner to transfer £1,260 of their personal allowance (£12,570) to the other partner which will be known as their “tax credit”.

For example, if you have an income of £25,000 and your partner's income is less than their personal allowance, you pay income tax on £12,430. However, if you claim marriage allowance, your partner who is earning less than you, can transfer £1,260 of their personal allowance to you, giving you a personal allowance of £13,830 (12,570 + £1,260).

You now have an extra £1,260 that you would’ve paid tax on at 20%, but is now tax-free, so you are now £252 up (20% of £1,260). Now that you have a higher personal allowance that has been increased, you know that you will pay less on your taxes. 

How to claim marriage allowance

If you and your partner qualify for Marriage Allowance, you can claim for it by applying online through the gov.uk website . Once registered, the amount of marriage allowances you’re eligible for will automatically transfer to your account.

How to claim Marriage Allowance for backdated years

You can backdate your claim for any year that you were eligible for since the 5th of April, 2017.

How to claim marriage allowance if your partner has died?

If your partner passed away after the 5th of April in 2017, you can still claim Marriage Allowance for any backdated years - if you meet the other requirements for claiming Marriage Allowance.

Can marriage allowance be transferred to a foreign expatriate living in the UK?

You can claim Marriage Allowance even if you or your partner are an expatriate, as long as you are residing in the UK. 

If you have further questions regarding marriage allowance or would like support claiming the allowance contact us