MSE News: Couples now able to register to shift tax allowance between spouses

Former_MSE_Paloma · 20 February 2015 at 1:39PM

Married couples and those in civil partnerships can now register for a tax break, which could help them save up to £212 ...

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'Couples now able to register to shift unused tax allowance between spouses"

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carmina_piranha · 20 February 2015 at 2:43PM

I've registered.

Hopefully the bit about if you earn 10k you can only transfer 600, etc. simply means adding to my husband's tax code and lowering mine. Otherwise it sounds like a faff.

carmina_piranha · 20 February 2015 at 2:51PM

Also, the Telegraph saying this only applies to those on a low income is annoying for those who jointly earn half or less of the maximum earnings a couple can have in order to take advantage of this allowance! Rude of them!

http://www.telegraph.co.uk/finance/personalfinance/tax/11423027/Marriage-tax-allowance-how-to-register.html

stalkah · 20 February 2015 at 3:00PM

I earn 42,500 a year with my bonus however I have a company car and the benefit in kind is about another £6k on that. Does this mean I wouldn't be eligible?

Reaper · 20 February 2015 at 3:41PM

OK, I'm confused already. Is it "income" or "taxable income"? There's a big difference. I should be just into the Higher Rate bracket but after SIPP pension contributions it takes me back down to lower rate. Does anybody know if I qualify or not?

zygurat789 · 20 February 2015 at 4:04PM

Reaper wrote: »

OK, I'm confused already. Is it "income" or "taxable income"? There's a big difference. I should be just into the Higher Rate bracket but after SIPP pension contributions it takes me back down to lower rate. Does anybody know if I qualify or not?

One spouse earning less than the personal allowance and the other NOT paying tax at 40% or 45%.

Reaper · 20 February 2015 at 4:54PM

Thanks, that was the answer I was hoping for. It would be better if both MSE and HMRC just used the term "basic rate tax payers" instead of describing it as those with an "annual income of between £10,601 and £42,385" if you can earn more than that and still qualify.

molerat · 20 February 2015 at 5:51PM

I notice the Telegraph article mentions £1060, has this been confirmed by HMRC yet as the last mention seems to be £1050 for 15-16 and 10% in following years.

zygurat789 · 20 February 2015 at 5:56PM

molerat wrote: »

I notice the Telegraph article mentions £1060, has this been confirmed by HMRC yet as the last mention seems to be £1050 for 15-16 and 10% in following years.

Nothing will be confirmed until Budget day March 18

[Deleted User] · 20 February 2015 at 10:42PM

zygurat789 wrote: »

Nothing will be confirmed until Budget day March 18

£10600 has been confirmed:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/385235/Personal_Allowance_for_2015-16.pdf

"For 2015-16, the personal allowance for those born after 5 April 1938 will be further
increased from £10,500 announced at Budget 2014 to £10,600. The ‘higher rate threshold’
for 2015-16 will also be increased to £42,385. "

zygurat789 · 21 February 2015 at 9:25AM

billbennett wrote: »

£10600 has been confirmed:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/385235/Personal_Allowance_for_2015-16.pdf

"For 2015-16, the personal allowance for those born after 5 April 1938 will be further
increased from £10,500 announced at Budget 2014 to £10,600. The ‘higher rate threshold’
for 2015-16 will also be increased to £42,385. "

That's what people said about the annoncement of £10,500.
It is NOT confirmed until the Chancellor has confirmed or altered it on Budget day.

MSE News: Couples now able to register to shift tax allowance between spouses

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