Transfer of Personal Allowance

redvalley

I’m now a 20% tax payer and my wife has a part time job earning around £7500 per year. Is it possible to transfer the unused part of her Personal Allowance to me?

molerat

She can transfer 10% of her allowance to you. See the many threads on here about marriage allowance.

Dazed_and_confused

And it is on tax year basis so are you actually a basic rate payer for 2018:19 or just from 2019:20 onwards?

polymaff

Providing that you are not classified as a higher rate tax-payer in the year(s) she plans to elect for MAT.


N.B. not necessarily implied by your

I’m now a 20% tax payer

redvalley

It will be for next year 2019/20

Dazed_and_confused

So I think she will have to wait until the new tax year to apply then.

She should then receive a revised tax code for 2019:20.

The tax deduction you will become entitled to (you don't actually receive any additional Personal Allowance despite your wife's "transfer") may be given provisionally in your tax code if you are on PAYE but otherwise you will see the benefit when you file your 2019:20 Self Assessment return.

redvalley

Thanks to all for the information