Marrige allowance

Gazzman123

My wife is recieving the state pension and is currently a non-tax payer and so I am claiming the allowance. With the rise in New State Pension in April will this affect her non tax payer status as our investments are in her name?

p00hsticks

I presume you mean that she has applied for the allowance in your favour ....

How much state pension is she getting ? 
If it's the full state pension then that'll use her full tax allowance, even before any interest from investments, so she'll probably get a letter from HMRC at some point with a tax bill, especially if she's gifted some of her allowance to you.  

Dazed_and_C0nfused

Gazzman123 said:

My wife is recieving the state pension and is currently a non-tax payer and so I am claiming the allowance. With the rise in New State Pension in April will this affect her non tax payer status as our investments are in her name?

Eligibility for Marriage Allowance is dependent on whether or not either of you are higher rate payers.

If not it will just continue, even if that means your wife ends up with tax to pay.

It may be there is a point where she thinks it's better to cancel it as she is paying £252 or more in tax whilst you are savings £252.

molerat

If she is on the full state pension, and has been since April this year, with no other PAYE income she is already a tax payer and will get a simple assessment, AKA  a bill, in the middle of next year for around £130 ( £11964 - £11310 = £654 x 20% = £130.80) to be paid by Jan 27.  For 26-27 she will be receiving a bill mid 27 for around £245 meaning as a couple you will be only £7 better off.  That is purely with regard to the state pension amount and other investments may add to that if applicable.