Uniform allowance and earning less than personal allowance

happyhero

Hi, I was just going to sort uniform allowance for my wife who works in a primary school as the catering manager employed by the local council and I think I see a problem can anybody confirm for me please?


Basically she always earns just under her personal allowance, between £10,000 and £11,000 in recent years and in the past her pay has just crept up but was always just below the personal allowance so although she has to wear a uniform and wash it I think she may not be able to claim.


I ask this becuase I just started to fill out the claim and I came to this part where you stipulate what years you are claiming for and it has this line



"If you have not paid any tax during the tax year you are claiming for, no refund will be due."


Initially I had thought they would just adjust her tax code to insure she gets the uniform allowance but reading the above line makes me think thats not the case and she wont get anything which seems wrong to me as I would have thought if she washes the uniform she should be entitled as much as anybody else to the money, I mean its no less washing compared to someone who earns over their personal allowance so how can that be right?


She actually works very hard, its quite exhausting she always says as its a fast pace with minimum staff.


Can anybody elaborate. Hope I've put this question in the right place. Any help appreciated.

sheramber

The uniform allowance is added to her personal allowance and so increases her code number.

The allowance gives tax relief on £60 = £12 less tax paid per year.

If no tax is paid then no additional relief will be given.

Dazed_and_confused

Initially I had thought they would just adjust her tax code to insure she gets the uniform allowance

They would. But if earns under the Personal Allowance it would usually be of no benefit.

Unless she has also applied for Marriage Allowance. In which case she may make herself liable to tax and then applying for laundry allowance/expenses would reduce the tax she has to pay.

In case you (your wife) wasn't aware there are situations where it is beneficial as a couple to apply for Marriage Allowance even though it makes one person pay tax when they wouldn't ordinarily do so, your wife in this example, because the other spouse will pay even less tax i.e. your wife ends up with a tax bill of, say, £100 but you receive a tax reduction of £238.

You need to sit down and work the figures through to see if your wife should apply but it is one way your wife may receive tax relief (in financial terms rather than a worthless addition to her tax code) for the laundry allowance.

And you would get a nice refund (or reduction in any tax you currently owe).