Issues when reversing married tax allowance

MyQuestion

Has anyone else experienced issues when wishing to take back their married tax allowance (MTA)?

I phoned HMRC in April 2024, as when I made an online request to reclaim my married tax allowance back from my husband, it stated that this would only occur from 5th April 2025!!!!  

Can you imagine my shock when HMRC  informed me that this was correct!!!!  

It was explained that as I’d made my request TWO weeks after the 5th April 2024,  I could NOT get my allowance back until the next tax year (25/26);  apparently  I’d missed the tax year change DEADLINE  - not only is this not stated on any advertisement or application form when setting up MTA it’s only on really digging to find (which I did after phone-call), does it state this anywhere; WHY?  

On further discussion I was informed that had I LEFT my husband or he’d DIED, I COULD reclaim it - how is this right - it’s MY allowance and I should be able to use it myself, regardless !!!!!

So, not only am I having to deal with my husband having to leave his job, due to ill health (would not be returning to employment for the foreseeable future) and the lack of income due to this, we are further penalised  by me having to pay tax on everything I earn over  £11310 (gave husband £1260 MTA), when I don’t even earn over the £12570 tax threshold!!   

It’s only £158 in Tax, but it’s the principle as I shouldn’t have to pay ANY

The question is WHY can I apply at ANY TIME of the year to give MTA to my spouse AND have it backdate to April 2020, but NOT reclaim its use IMMEDIATELY without the split or death caveat?

Be carful when you apply to reclaim your Married Tax Allowance)!!!

eskbanker

MyQuestion said:

It was explained that as I’d made my request TWO weeks after the 5th April 2024,  I could NOT get my allowance back until the next tax year (25/26);  apparently  I’d missed the tax year change DEADLINE  - not only is this not stated on any advertisement or application form when setting up MTA it’s only on really digging to find (which I did after phone-call), does it state this anywhere; WHY?

There's quite a bit of SHOUTING going on above but the first place to look for information (the brief three page online guide) does clarify in simple terms:

After you cancel

If you cancel because of a change of income, the allowance will run until the end of the tax year (5 April).

If your relationship has ended, the change may be backdated to the start of the tax year (6 April).

This might mean you or your partner underpays tax for the year.

If your partner dies

If your partner dies after you’ve transferred some of your Personal Allowance to them:

• their estate will be treated as having the increased Personal Allowance
• your Personal Allowance will go back to the normal amount

https://www.gov.uk/marriage-allowance/if-your-circumstances-change

Obviously this just explains how it works, rather than justifying it, but if you feel strongly about it, you could lobby your MP?

MyQuestion

I won’t apologise for being shouty, as I feel it is so unjust, but your suggestion re contacting my MP is one I will act on.   Change only occurs if you take action.  Thank you

eskbanker

MyQuestion said:

I won’t apologise for being shouty, as I feel it is so unjust, but your suggestion re contacting my MP is one I will act on.   Change only occurs if you take action.  Thank you

Your MP may not be an expert in all aspects of the law but if not you could point them towards section 55D(6) of the Income Tax Act 2007 as the legislation that you're seeking to repeal:

The withdrawal of an election under subsection (4) does not, except in the cases dealt with by subsection (7) [end of relationship], have effect until the tax year after the one in which the notice is given.

https://www.legislation.gov.uk/ukpga/2007/3/section/55D

Dazed_and_C0nfused

MyQuestion said:

Has anyone else experienced issues when wishing to take back their married tax allowance (MTA)?

I phoned HMRC in April 2024, as when I made an online request to reclaim my married tax allowance back from my husband, it stated that this would only occur from 5th April 2025!!!!  

Can you imagine my shock when HMRC  informed me that this was correct!!!!  

It was explained that as I’d made my request TWO weeks after the 5th April 2024,  I could NOT get my allowance back until the next tax year (25/26);  apparently  I’d missed the tax year change DEADLINE  - not only is this not stated on any advertisement or application form when setting up MTA it’s only on really digging to find (which I did after phone-call), does it state this anywhere; WHY?  

On further discussion I was informed that had I LEFT my husband or he’d DIED, I COULD reclaim it - how is this right - it’s MY allowance and I should be able to use it myself, regardless !!!!!

So, not only am I having to deal with my husband having to leave his job, due to ill health (would not be returning to employment for the foreseeable future) and the lack of income due to this, we are further penalised  by me having to pay tax on everything I earn over  £11310 (gave husband £1260 MTA), when I don’t even earn over the £12570 tax threshold!!   

It’s only £158 in Tax, but it’s the principle as I shouldn’t have to pay ANY

The question is WHY can I apply at ANY TIME of the year to give MTA to my spouse AND have it backdate to April 2020, but NOT reclaim its use IMMEDIATELY without the split or death caveat?

Be carful when you apply to reclaim your Married Tax Allowance)!!!

All the previous replies are quite correct.

But have you considered checking with your husband if he would consider applying for Marriage Allowance for the current tax year 🤔

Obviously the overall impact of this will depend on his income, which you haven't mentioned.  But the inference from your post is that he isn't able to benefit from it.  If his taxable income is going to be £11,310 or less in this tax year it could be you get your £158 back.

Albermarle

MyQuestion said:

I won’t apologise for being shouty, as I feel it is so unjust, but your suggestion re contacting my MP is one I will act on.   Change only occurs if you take action.  Thank you

You could look it another way.
The MTA is a concession in the first place, which you have benefitted from.
The rules about changing it are part of the MTA.

So whilst benefitting from MTA ( which could easily be withdrawn by the Govt full stop) you were happy, but now you do not like one aspect of it you are unhappy.

When it comes to tax ' swings and roundabouts' is often the case. 

DRS1

Dazed_and_C0nfused said:

MyQuestion said:

Has anyone else experienced issues when wishing to take back their married tax allowance (MTA)?

I phoned HMRC in April 2024, as when I made an online request to reclaim my married tax allowance back from my husband, it stated that this would only occur from 5th April 2025!!!!  

Can you imagine my shock when HMRC  informed me that this was correct!!!!  

It was explained that as I’d made my request TWO weeks after the 5th April 2024,  I could NOT get my allowance back until the next tax year (25/26);  apparently  I’d missed the tax year change DEADLINE  - not only is this not stated on any advertisement or application form when setting up MTA it’s only on really digging to find (which I did after phone-call), does it state this anywhere; WHY?  

On further discussion I was informed that had I LEFT my husband or he’d DIED, I COULD reclaim it - how is this right - it’s MY allowance and I should be able to use it myself, regardless !!!!!

So, not only am I having to deal with my husband having to leave his job, due to ill health (would not be returning to employment for the foreseeable future) and the lack of income due to this, we are further penalised  by me having to pay tax on everything I earn over  £11310 (gave husband £1260 MTA), when I don’t even earn over the £12570 tax threshold!!   

It’s only £158 in Tax, but it’s the principle as I shouldn’t have to pay ANY

The question is WHY can I apply at ANY TIME of the year to give MTA to my spouse AND have it backdate to April 2020, but NOT reclaim its use IMMEDIATELY without the split or death caveat?

Be carful when you apply to reclaim your Married Tax Allowance)!!!

All the previous replies are quite correct.

But have you considered checking with your husband if he would consider applying for Marriage Allowance for the current tax year 🤔

Obviously the overall impact of this will depend on his income, which you haven't mentioned.  But the inference from your post is that he isn't able to benefit from it.  If his taxable income is going to be £11,310 or less in this tax year it could be you get your £158 back.

A cunning plan. @MyQuestion why don't you try this to see if it could work for you.