How does Marriage Allowance impact Universal Credit?

39 Posts

Hello,
We have just applied for Marriage Allowance and would stand to gain backdated pay for the last 4 years.
We claim Universal Credit and I was wondering how this will impact our next statement and our subsequent ones after this?
I'm worried that a backdated tax rebate over 4 years would result in one-lump sum increase in my income that would close our claim. Would that happen?
Questions:
1) How is the Marriage Allowance for a current year allocated? Is it one lump sum or is it split over the entire year?
2) Will I have to tell Universal Credit about our backdated pay? Or is this something that they would automatically know as it is through HMRC?
3) How will this impact our monthly earnings and therefore our statement for UC?
4) I'm worried that a backdated tax rebate over 4 years would result in large one-lump sum increase in my income that would close our claim. Would that happen?
Thank you for any help
We have just applied for Marriage Allowance and would stand to gain backdated pay for the last 4 years.
We claim Universal Credit and I was wondering how this will impact our next statement and our subsequent ones after this?
I'm worried that a backdated tax rebate over 4 years would result in one-lump sum increase in my income that would close our claim. Would that happen?
Questions:
1) How is the Marriage Allowance for a current year allocated? Is it one lump sum or is it split over the entire year?
2) Will I have to tell Universal Credit about our backdated pay? Or is this something that they would automatically know as it is through HMRC?
3) How will this impact our monthly earnings and therefore our statement for UC?
4) I'm worried that a backdated tax rebate over 4 years would result in large one-lump sum increase in my income that would close our claim. Would that happen?
Thank you for any help
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Replies
If I get a tax rebate of four years (circa £1000), would I have an extra £1000 income that month for UC?
Would I be able to delay telling UC about the payment until after a cost of living month had passed?
I'm not sure what to do now.
Is there a way to calculate the payment beforehand?
Is it not automatically known then?
Where you receive a refund directly, you need to tell DWP about that.
tax refunds are taken into account where the refund relates to any tax year that you were in paid work (it doesn't matter whether the refund relates to that paid work)