Tax Allowance Transfer

MrsG.23

We are a retired couple. Prior to receiving my state pension I transferred part of my allowance to my husband as he was still working. We both get state pension and works pension. Mine is a good bit less than his. My tax code is S240N with the allowance to him. His is S452M including the allowance of £1260
Are we better off staying as is or should I take the allowance back. I know in the grand scheme of things it's not much but every penny counts.
Thank you

Dazed_and_C0nfused

Tricky to say without knowing your actual taxable income details.

Jeremy535897

The codes imply that you are both paying at least basic rate tax on some income, so it probably won't save money.

sheramber

It depends on how much tax you are paying.


When I transferred the allowance to my husband I paid £80 but his reduction in tax  was more than that so , as a couple, we were better off.

molerat

sheramber said:

It depends on how much tax you are paying.


When I transferred the allowance to my husband I paid £80 but his reduction in tax  was more than that so , as a couple, we were better off.

Similar here.  For the past couple of years MrsM has been paying a little tax.  Next year the gain will be marginal, around £12, and we will likely scrap it for 24-25 as I can't see the personal allowance ever catching up with the SP increases.