What is Marriage Allowance?

Aske Buemann

CEO & Co-founder

Who is Eligible for the UK Marriage Allowance?

The UK Marriage Allowance is a valuable tax break available to married couples and civil partners who are both UK taxpayers. This allowance allows one partner to transfer up to £1,150 of their unused tax-free Personal Allowance to their partner, reducing their partner’s tax bill.

The UK Marriage Allowance was introduced in April 2015 and is open to couples where one partner earns more than the other. The partner earning less than £12,570 (2021/2022 and 2022/2023 can transfer up to £1,260 of their unused allowance to their partner, reducing their partner’s tax bill.

To take advantage of the UK Marriage Allowance, both partners must be UK taxpayers and one must earn less than the Personal Allowance (£12,570 2022/2023). The partner earning less than the Personal Allowance must then apply to HMRC to transfer their unused allowance to their partner. HMRC will then transfer the allowance to the partner with the higher income.

Couples can also claim a tax refund if they have paid too much tax due to the UK Marriage Allowance. To claim the tax refund, couples should:

- Visit HMRC website or TaxHelper.io

- Sign into their online account

- Select ‘Tax Refunds’ from the list of options

- Fill in the application form

Once the application has been submitted, HMRC will review the couple’s eligibility and transfer the refund if approved.

The UK Marriage Allowance is a valuable tax break that can save couples up to £230 a year. It is important to remember that the UK Marriage Allowance is not automatically applied and couples must apply to HMRC each year to benefit from it. Furthermore, couples can also claim a tax refund if they have paid too much tax due to the UK Marriage Allowance.

Check if you are due a tax refund in just 15 min.

In TaxHelper, we help you find the tax refunds you are entitled to. You just answer simple questions that only take 15 min. to go through.

Afterwards, we report the tax refunds and you get an extra £308 paid out on average. And you only pay if you get a tax refund.

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