Using Spouses Tax Allowance

yus786

Was in a Bank the other day and heard some guys talking about "using his wife tax allowance on his job"

He was saying his tax code was something like 1200L as his wife's was also included.

How is that possible?

Mikeyorks

It isn't.

Unless he was over 75? And 'they' have a married allowance which is transferable.

zagfles

Nobody can use their spouses personal allowance. As above the married couples' allowance is transferrable, as I think is the blind person's allowance, but the personal allowance never is.

The usual way round this, where possible, is to transfer the income source to use your partner. Eg if you're self employed, employ your partner to do admin etc, or if you have income from a property you rent, transfer the property. But you can't do this with employment income.

xylophone

If the spouse is a non-earner or has a lower tax code, it can be beneficial for him/her to hold savings accounts in his/her name - however the money is beneficially that of the account holder, so if you think your spouse is likely to decamp to the Riviera......
http://www.hmrc.gov.uk/tdsi/ten-per-cent-guidance.htm