Change of tax code - M to L

lotti_bosman

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

maj1987

L is normal tax allowance, m is when you take 10% of your partners allowance as you have been doing.

Bookworm225

what is your wife's code?
does it still have an N suffix ?
if not then it appears the transfer has been cancelled (have you gone over to higher rate tax bracket)?
you, as recipient, can do nothing, it is down to her to apply to transfer it, not you to apply to receive it.

Marriage Allowance: How to apply - GOV.UK

what does your coding notice say as explanation of 1394 dropping to 962, you are being taxed on over £4,300 of "extra" income, Does that make sense? Is that number still net of the transfer?

you can look on your online personal tax account if you are unaware of a coding notice.

Dazed_and_C0nfused

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

lotti_bosman

Dazed_and_C0nfused said:

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

It's true that I have now tipped into a higher rate tax band due to last year's inherited pension but not sure how this affects the transferring of the Marriage Allowance from my wife. It might well affect it so will look into it.

I am unable to locate the tax code for my wife at the moment but the 2025-26 projections for her are:

Total estimated income: £16,155

Income Tax estimate:     £889

Income Tax Band Amount        Tax           Rate        Tax

Tax-free amount                      £11,310     0%           £0

Basic rate                                £4,449      20%         £889

This will probably explain the change from M to L, but I have no idea how her estimated income would be calculated at £16,155, unless it's something to do with taxation on savings interest. Considering her only other income (Carer's Allowance) brings £4,331.60 annually, this would suggest that there is nearly £12,000 in savings interest, which isn't the case.

Whilst trying to identify her tax situation for 2024-25, the gov site says "Your Income Tax has not been calculated yet for 6 April 2024 to 5 April 2025", so the £16,155 figure may just be an estimate. However, I would like to be in a position to know whether there would need to be a new application to transfer her allowance as a result of this estimate and the expectation that it is a miscalculation, as it could be easily overlooked. I suppose the general message is to keep checking your tax code.

lotti_bosman

In my situation, thie would appear to be the answer:

• your partner pays Income Tax at the basic rate, which usually means their income is between £12,571 and £50,270 before they receive Marriage Allowance

p00hsticks

lotti_bosman said:

Dazed_and_C0nfused said:

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

It's true that I have now tipped into a higher rate tax band due to last year's inherited pension but not sure how this affects the transferring of the Marriage Allowance from my wife. It might well affect it so will look into it.

You are only permitted to transfer your Allowance to someone who is a basic rate tax payer. If you now pay a higher rate you are no longer eligible to receive the additional allowance.

Dazed_and_C0nfused

lotti_bosman said:

In my situation, thie would appear to be the answer:

• your partner pays Income Tax at the basic rate, which usually means their income is between £12,571 and £50,270 before they receive Marriage Allowance

In your previous post you said you had tipped into being a higher rate payer, which is correct 🤔

Dazed_and_C0nfused

lotti_bosman said:

Dazed_and_C0nfused said:

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

It's true that I have now tipped into a higher rate tax band due to last year's inherited pension but not sure how this affects the transferring of the Marriage Allowance from my wife. It might well affect it so will look into it.

I am unable to locate the tax code for my wife at the moment but the 2025-26 projections for her are:

Total estimated income: £16,155

Income Tax estimate:     £889

Income Tax Band Amount        Tax           Rate        Tax

Tax-free amount                      £11,310     0%           £0

Basic rate                                £4,449      20%         £889

This will probably explain the change from M to L, but I have no idea how her estimated income would be calculated at £16,155, unless it's something to do with taxation on savings interest. Considering her only other income (Carer's Allowance) brings £4,331.60 annually, this would suggest that there is nearly £12,000 in savings interest, which isn't the case.

Whilst trying to identify her tax situation for 2024-25, the gov site says "Your Income Tax has not been calculated yet for 6 April 2024 to 5 April 2025", so the £16,155 figure may just be an estimate. However, I would like to be in a position to know whether there would need to be a new application to transfer her allowance as a result of this estimate and the expectation that it is a miscalculation, as it could be easily overlooked. I suppose the general message is to keep checking your tax code.

It makes you ineligible for Marriage Allowance.

With reference to your wife's tax code, who will be using that?  An employer?  A pension payer?

Do you expect to remain a higher rate payer in the current tax year?

lotti_bosman

Dazed_and_C0nfused said:

lotti_bosman said:

Dazed_and_C0nfused said:

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

It's true that I have now tipped into a higher rate tax band due to last year's inherited pension but not sure how this affects the transferring of the Marriage Allowance from my wife. It might well affect it so will look into it.

I am unable to locate the tax code for my wife at the moment but the 2025-26 projections for her are:

Total estimated income: £16,155

Income Tax estimate:     £889

Income Tax Band Amount        Tax           Rate        Tax

Tax-free amount                      £11,310     0%           £0

Basic rate                                £4,449      20%         £889

This will probably explain the change from M to L, but I have no idea how her estimated income would be calculated at £16,155, unless it's something to do with taxation on savings interest. Considering her only other income (Carer's Allowance) brings £4,331.60 annually, this would suggest that there is nearly £12,000 in savings interest, which isn't the case.

Whilst trying to identify her tax situation for 2024-25, the gov site says "Your Income Tax has not been calculated yet for 6 April 2024 to 5 April 2025", so the £16,155 figure may just be an estimate. However, I would like to be in a position to know whether there would need to be a new application to transfer her allowance as a result of this estimate and the expectation that it is a miscalculation, as it could be easily overlooked. I suppose the general message is to keep checking your tax code.

It makes you ineligible for Marriage Allowance.

With reference to your wife's tax code, who will be using that?  An employer?  A pension payer?

Do you expect to remain a higher rate payer in the current tax year?

I don't expect to be a higher rate tax payer in a year's time. If that is the case, I suspect that it would result in a new application to transfer her allowance when the time comes. Regarding my wife's tax code, I don't imagine anybody would be using that.

Dazed_and_C0nfused

lotti_bosman said:

Dazed_and_C0nfused said:

lotti_bosman said:

Dazed_and_C0nfused said:

lotti_bosman said:

Does anyone have any idea as to why my tax code has changed from 1394M to 962L? I'm more concerned about the change of M to L. Although income was a little higher for me in the last tax year due to an inherited pension, there has been no change regarding my Marriage Allowance circumstances as my wife is still unemployed and income (Carer's Allowance) is way below her Personal Allowance. I have been claiming Marriage Allowance for a number of years. Has something changed and do we now need to re-apply for it?

I suspect you may have tipped into being a higher rate payer last year and as such are no longer eligible for Marriage Allowance.

If so you are likely to owe ~£500 for last year (in respect of Marriage Allowance).

If your income situation will change in the current tax year and you are no longer a higher rate payer then your wife could make a new application for 2025-26.

NB.  Marriage Allowance is not something you can claim.

It's true that I have now tipped into a higher rate tax band due to last year's inherited pension but not sure how this affects the transferring of the Marriage Allowance from my wife. It might well affect it so will look into it.

I am unable to locate the tax code for my wife at the moment but the 2025-26 projections for her are:

Total estimated income: £16,155

Income Tax estimate:     £889

Income Tax Band Amount        Tax           Rate        Tax

Tax-free amount                      £11,310     0%           £0

Basic rate                                £4,449      20%         £889

This will probably explain the change from M to L, but I have no idea how her estimated income would be calculated at £16,155, unless it's something to do with taxation on savings interest. Considering her only other income (Carer's Allowance) brings £4,331.60 annually, this would suggest that there is nearly £12,000 in savings interest, which isn't the case.

Whilst trying to identify her tax situation for 2024-25, the gov site says "Your Income Tax has not been calculated yet for 6 April 2024 to 5 April 2025", so the £16,155 figure may just be an estimate. However, I would like to be in a position to know whether there would need to be a new application to transfer her allowance as a result of this estimate and the expectation that it is a miscalculation, as it could be easily overlooked. I suppose the general message is to keep checking your tax code.

It makes you ineligible for Marriage Allowance.

With reference to your wife's tax code, who will be using that?  An employer?  A pension payer?

Do you expect to remain a higher rate payer in the current tax year?

I don't expect to be a higher rate tax payer in a year's time. If that is the case, I suspect that it would result in a new application to transfer her allowance when the time comes. Regarding my wife's tax code, I don't imagine anybody would be using that.

It's the tax year as a whole that counts.  

So if it's the 2026-27 tax year before you will return to being a basic rate payer then I would think your wife will need to wait until then before applying again.

She is unlikely to get a new tax code (reverting from N to L) as there is no one to use it.  If she started receiving a pension (not the State Pension) then the code for that should now have L rather than N as the suffix.