Transfer of personal allowance - save £250 instantly.
Updated: Oct 21, 2020
I have been asked a few times recently about a simple tax-saving idea called Marriage Allowance.
If you or your partner are not working, or do not use all of your allocated personal tax allowances (currently £12,500 PA) you can make an election to transfer 10% (£1,250) of the personal allowance to your higher-earning partner. This will mean that one will get £13,750 tax-free personal allowance and the other will receive only £11,250. The highest person's earnings must be between £12,501 and £50,000 (£43,430 in Scotland).
Once the transfer has been made it will instantly save them 20% of £1250, which is £250.
The transfer of your Personal Allowance needs to be made by the Transferee (the lower earner), and it is very easy to do. Please make sure you have both peoples national insurance numbers and some ID. The link and instructions on how to make a transfer can be found here.
At Short and Sons, we are still offering £50 referrals to new and existing clients. The £50 bonus is paid once the new client has completed their first return and credited to your account for you to use when completing your next return. Please make sure they mention your name when joining up!
Join up forms and links to Shortandsons.co.uk can be requested by emailing firstname.lastname@example.org - have a great day!