Married couple tax allowances

DannyGold

If I’m earning £22.5k and my wife self employed her first year makes a loss, then we still have £10K EACH tax allowances right?

If I’m paying tax every month using only my £10K allowance, then should I get a big tax rebate at the end of the year when she puts in her self assessment showing a loss,

My question really is, is it £20K tax allowance for a couple? Combines totals?

JGB1955

You each have a PERSONAL tax allowance of £12,500. They are not joined in any way, although your wife can transfer £1,250 of her personal allowance to yourself.

74jax

DannyGold wrote: »

If I’m earning £22.5k and my wife self employed her first year makes a loss, then we still have £10K EACH tax allowances right?

If I’m paying tax every month using only my £10K allowance, then should I get a big tax rebate at the end of the year when she puts in her self assessment showing a loss,

My question really is, is it £20K tax allowance for a couple? Combines totals?

Are you sure yours is 10k? What is your tax code and what was it last year?

DannyGold

74jax wrote: »

Are you sure yours is 10k? What is your tax code and what was it last year?

I do t know what it is how can I find out please?

p00hsticks

DannyGold wrote: »

I do t know what it is how can I find out please?

If you're employed, then the easiest way would be to look at your last payslip. The standard tax allowance is £12,500, with a corresponding tax code of 1250L. If your tax code is anything other than standard for any reason you should have had a communication (coding notice) fron HMRC explaining why.

DannyGold

JGB1955 wrote: »

You each have a PERSONAL tax allowance of £12,500. They are not joined in any way, although your wife can transfer £1,250 of her personal allowance to yourself.

Thanks how can we use that £1.2k?

Is it automatic

ohreally

https://www.gov.uk/apply-marriage-allowance

Dazed_and_confused

Thanks how can we use that £1.2k?

Just to be clear, if your wife chooses to apply for Marriage Allowance then for the current tax year she will be entitled to a reduced Personal Allowance of £11,250.

You will be entitled to a reduction of £250 in the tax you have to pay in the current tax year.

The maximum you will benefit is £250.

The impact on your wife will depend on her taxable income for the year. It may be it has no impact but it could mean she has some tax to pay, due to having a lower Personal Allowance.