You could be missing out on tax savings… You could save up to £252 in tax this year simply by transferring part of your personal allowance to your spouse or civil partner.
If one of you earns less than your full personal allowance (£12,570 in 2025/26) and the other is a basic-rate taxpayer, the Marriage Allowance may be for you.
Eligibility for the UK Marriage Allowance
- You must be married or in a civil partnership and both born on or after 6 April 1935.
- Neither partner may pay tax at above the basic rate (20%).
- The “lower-earner” must have income (excluding savings interest up to £5,000) below £12,570.
- The “higher-earner” must have income below £50,270 (England, Wales & NI) or £43,662 (Scotland).
What You Can Transfer
You may transfer 10% of your personal allowance—£1,260 in 2025/26. The recipient’s income tax bill falls by 20% of £1,260, i.e. £252.
Backdating a Marriage Allowance Claim in the UK
You can backdate a claim by up to four tax years, potentially saving up to £1,008 in total if you were eligible in each year.
How SAIL International can help:
- Eligibility Review – We’ll confirm whether both partners meet all conditions.
- Application Support – We’ll guide you through the online claim or paper form.
- Back-date Claims – We’ll calculate if you can recover allowances from previous years.
- PAYE Code Updates – We’ll liaise with HMRC to ensure your tax code reflects the allowance.
- Ongoing Advice – If your incomes change, we’ll advise whether you should keep or cancel the claim.
Example: Alice and Ben married in 2023. In 2025/26:
- Alice works part-time, earning £8,000. She uses only £8,000 of her £12,570 personal allowance.
- Ben is a full-time teacher on £35,000. He pays 20% tax on everything over his £12,570 allowance.
By transferring £1,260 of her unused allowance to Ben, Ben’s taxable income falls to £33,740, saving him £252 in tax in 2025/26. They can also backdate two earlier years, saving a further £504.
Total saving over three years: £756. Alice and Ben win.
If one partner’s income is below the personal allowance and the other is a basic-rate taxpayer, the Marriage Allowance can reduce your combined tax bill by up to £252 a year—more if you backdate.
Simple eligibility checks and the correct claim procedure are vital to secure your savings.
To find out whether the Marriage Allowance could benefit you, or to claim and backdate with confidence, contact SAIL International today by booking a call here.
Indemnity
This article is for general guidance only and does not constitute professional advice. Individual circumstances vary. SAIL International does not warrant any specific outcome and accepts no liability for decisions taken on the basis of this information. Readers should seek tailored advice and use this article at their own risk.