Marriage allowance - NT tax Code

Celina73

Can someone please help/advise 
Can you claim marriage allowance if your earnings are higher than your spouse but are a not taxable ie: you dont pay income tax on it.  Tax code is (NT) 
Am I right to assume that I can still transfer to my spouse some of my tax allowance(£1,260) ?
Thank you 

Dazed_and_C0nfused

No one can "claim" Marriage Allowance.

Tax code NT is usually applicable to taxable income.  If it was non taxable in the first place it wouldn't need a tax code.

The eligibility for Marriage Allowance (as both the applicant and the recipient) is that you must not be liable to higher rate tax.

So if the higher income individual isn't liable to higher rate tax then they can apply and there spouse will get the Marriage Allowance tax reduction (they don't get any extra Personal Allowance).

[Deleted User]

May I be the first to ask what type of income you receive to which a code of NT has been applied?

Celina73

NT Tax code means Non-taxable its not a common one hence my question here  as its applies in only specific case like religious leader or non resident or being taxed at source ( if you're already taxed they cant dbl tax you). so my taxable income at HMRC is 0. if that means I'm not using my tax allowance can I ( make use) of the marriage allowance rule to transfer to my spouse who is just over the threshold at 20% rate ?

sheramber

I receive a bereavement pension which is coded NT

Dazed_and_C0nfused

Celina73 said:

NT Tax code means Non-taxable its not a common one hence my question here  as its applies in only specific case like religious leader or non resident or being taxed at source ( if you're already taxed they cant dbl tax you). so my taxable income at HMRC is 0. if that means I'm not using my tax allowance can I ( make use) of the marriage allowance rule to transfer to my spouse who is just over the threshold at 20% rate ?

Yes it seems so.  Your tax code doesn't really come into it, if you aren't a higher rate taxpayer and meet the other criteria then you could apply (and get a reduced Personal Allowance).

[Deleted User]

Dazed_and_C0nfused said:

Celina73 said:

NT Tax code means Non-taxable its not a common one hence my question here  as its applies in only specific case like religious leader or non resident or being taxed at source ( if you're already taxed they cant dbl tax you). so my taxable income at HMRC is 0. if that means I'm not using my tax allowance can I ( make use) of the marriage allowance rule to transfer to my spouse who is just over the threshold at 20% rate ?

Yes it seems so.  Your tax code doesn't really come into it, if you aren't a higher rate taxpayer and meet the other criteria then you could apply (and get a reduced Personal Allowance).

Yes - just because an NT code is operated doesn’t mean that the income isn’t taxable. In the case of ministers of religion an NT code was always operated - obviously didn’t mean that the income wasn’t taxable (perhaps you are not old enough to remember DC assessments before Self Assessment?) There are many ministers of religion who are higher rate taxpayers, have an NT code operated against their income from the church and, clearly couldn’t apply for marriage allowance.