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Can I transfer my allowances?

Marriage Allowance -  It is possible for married couples and civil partners to transfer a fixed amount of their personal allowance to the other, providing that the spouse transferring the allowance is not liable to income tax above the basic rate and the recipient is also not liable to income tax above the basic rate.

You can apply online at www.gov.uk/marriage allowance or if you are digitally excluded phone HMRC's main number 0300 200 3300 and say marriage allowance when prompted.

Married Couple's Allowance - If you were married or joined in a civil partnership before 5th December 2005, the married couple's allowance is automatically given to the husband, if on or after 5th December 2005, the MCA is given to the partner with the higher income. Those married or joined in a civil partnership before 5 December 2005 wanting to elect for the new rules to apply to them need to contact HMRC. However, you can also choose to transfer the minimum amount or to transfer surplus allowances.

Transfer of the minimum amount:  It is possible to share the minimum Married Couple's Allowance between you or, if you both agree, you can choose to transfer the whole of the minimum Married Couple's Allowance to your spouse or civil partner. In this case you'll need to complete form 18 - Transferring the Married Couple's Allowance before the start of the tax year.

Transfer of surplus allowances: If a partner has unused MCA in a tax year they can ask for the balance (or ‘surplus’) to be transferred to their spouse or civil partner. The request is made on a form 575 after the end of the tax year.

Both of these transfers are generally executed using a person’s tax code and can become quite complicated. Seek advice if it isn’t clear what is happening.

The Blind Person’s Allowance is also transferable between spouses.

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