Of course everyone is waiting to see it there will be any last minute pre-election tax give-aways in his speech, but how many have forgotten one that was in last year’s speech but only comes into effect for 2015/16 i.e. the new tax year due to start on 6 April 2015?
Last year George introduce a new tax break for “married couples & civil partners” called “Marriage Allowance”.
This will benefit couples where one partner has low taxable income, i.e. below £10,600 and the other has taxable income greater than £10,600 but less than £42,385, i.e. they are a basic rate taxpayer.
The marriage allowance is simply a transfer of a fixed amount of personal allowance (£1,000) from the low earner to the other and may save the couple up to £212.
If this is something that may benefit you then the low earner should register their interest now, online at www.gov.uk/marriage-allowance now. It is anticipated that the benefit of the transfer will take effect around June/July this year. Registering is very simple and only requires very basic information from the low earner such as name, address and NI number.
It is definitely not too late to register, takes only a few seconds so do it now.
How to follow Budget 2015
If you can’t make the announcement, we will be live-tweeting through the @sedulogroup Twitter account and our Head of Tax, Darrell, will also be manning our website live chat to field any questions you may have. If you’d like a summary of the updates, let Darrell know and we’ll send them right across!