Marriage Allowance

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19798100102103191

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  • badmemory
    badmemory Posts: 7,837 Forumite
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    Part of the problem is that the papers just keep getting it wrong. Late last night the BBC printed an article about how half the people entitled had not claimed. They then went on to say that the person paying tax could give their partner 10% of their tax code. Definitely not true. They have corrected it now to read the person not paying tax.

    How many people thinking of claiming do not understand the process & just how easy is it to find out. If HMRC are so sure 2.2 million are underclaiming why not send out a letter to them (explaining properly) instead of letting the newspapers print bul*****?
  • bob_bank_spanker
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    badmemory wrote: »
    How many people thinking of claiming do not understand the process & just how easy is it to find out. If HMRC are so sure 2.2 million are underclaiming why not send out a letter to them (explaining properly) instead of letting the newspapers print bul*****?
    Is that fair? I don't think HMRC are obliged to give out tax planning advice, and this whole "story" was the result of a FOI request from Royal London - who are obviously keen to create copy. Only about a quarter of people I know who are entitled to claim higher rate relief on their DB pension contributions actually do so, I don't think it's HMRC's place to advise them either.
  • badmemory
    badmemory Posts: 7,837 Forumite
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    edited 23 September 2017 at 2:19PM
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    Then maybe it is time HMRC produce a booklet called something along the lines of your responibilities & send it to every single tax payer. Unfortunately, most of us pick up our knowledge of tax as we go, if you happen to miss a bit the HMRC seem to delight in charging penalties not for the second infraction which would be understandable but for the first. For something which to a layman can seem totally illogical. Most of us have spent all our working lives on PAYE & a few years ago would never have had to get involved with self assessment just because you get child benefit.
  • Johnnyboy11
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    Here's a tricky question on eligibility...

    I am Non-UK resident and live and work in the Middle East (Qatar) and earn a lot, but have no relevant UK earnings. My wife is a high earner in the UK, but pays a fair amount into a private pension so that her relevant UK earnings are within the basic tax bracket.

    Can we apply for the Marriage Allowance to reduce my wife's tax bill?
  • polymaff
    polymaff Posts: 3,904 Forumite
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    Here's a tricky question on eligibility...

    I am Non-UK resident and live and work in the Middle East (Qatar) and earn a lot, but have no relevant UK earnings. My wife is a high earner in the UK, but pays a fair amount into a private pension so that her relevant UK earnings are within the basic tax bracket.

    Can we apply for the Marriage Allowance to reduce my wife's tax bill?

    Have you a UK Personal Allowance to transfer to your wife?
  • polymaff
    polymaff Posts: 3,904 Forumite
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    badmemory wrote: »
    ... If HMRC are so sure 2.2 million are underclaiming why not send out a letter to them (explaining properly) instead of letting the newspapers print bul*****?

    A waste of time, as just about all the advice that HMRC have given about MAT is, indeed, bul*****

    The media (newspapers, radio and TV) you castigate just repeat that HMRC-originated bul*****
  • polymaff
    polymaff Posts: 3,904 Forumite
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    It seems to me that many people don't properly understand that Marriage Allowance is not a simple gift from HMRC but a transfer of part of one person's allowance to their spouse.

    In your case, you are transferring £1,150 (2017/18) of your allowance to your husband. This means that your allowance will reduce by £1,150 and your husband's allowance will increase by the same amount.

    You, included. The recipient's "allowance" - sloppy terminology - does NOT increase one jot.
  • Johnnyboy11
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    polymaff wrote: »
    Have you a UK Personal Allowance to transfer to your wife?

    Yes, I think, all UK expats currently get a Personal Allowance.
  • dori2o
    dori2o Posts: 8,150 Forumite
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    I will be the one receiving the benefit. I will be asking my spouse to contact HMRC to initiate it.

    Do it online and set up a personal tax account.uch easier than phoning and available to do 24-7.
    [SIZE=-1]To equate judgement and wisdom with occupation is at best . . . insulting.
    [/SIZE]
  • dori2o
    dori2o Posts: 8,150 Forumite
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    badmemory wrote: »
    Part of the problem is that the papers just keep getting it wrong. Late last night the BBC printed an article about how half the people entitled had not claimed. They then went on to say that the person paying tax could give their partner 10% of their tax code. Definitely not true. They have corrected it now to read the person not paying tax.

    How many people thinking of claiming do not understand the process & just how easy is it to find out. If HMRC are so sure 2.2 million are underclaiming why not send out a letter to them (explaining properly) instead of letting the newspapers print bul*****?

    Why should they send a letter costing the taxpayer money.

    All of the information needed is online.

    Plus HMRC won't know who these people are. If you have not told HMRC that you are married then they won't know you are eligible, and even if you have told them you're married your spouses NINO may not be held on your records to find their record and its not as simple as assuming that someone who lives at the same address with the same surname is a spouse.

    HMRC should not have to hold the hand of intelligent individuals. Those individuals should take the time to look at the information, check they are eligible and make the claim themselves.
    [SIZE=-1]To equate judgement and wisdom with occupation is at best . . . insulting.
    [/SIZE]
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