01278 228004

Chamber News

You are here: 

Give your loved one a tax break this Valentine’s Day

Friday 12th February, 2021

HM Revenue and Customs (HMRC) is encouraging married couples and people in civil partnerships to sign up for a tax break this year.

Marriage Allowance offers individuals the chance to transfer part of their Personal Allowance to their husband, wife or civil partner, which could reduce their tax by up to £250 a year. For some couples, this could mean a backdated payment of up to four years of claims which could be as much as £1,188.

It is free to apply for Marriage Allowance and HMRC is encouraging customers to claim directly through its online portal to ensure they receive 100% of the tax relief they are eligible for.

Angela MacDonald, HMRC’s Second Permanent Secretary, said:

“For some, a tax break will be a welcome source of extra cash during these difficult times. I urge couples to take advantage of this offer, which could put up to £250 back in their pockets each year.

“Signing up is simple – the quickest way to claim is through the GOV.UK website, just search ‘marriage allowance’.”

Marriage Allowance lets people earning £12,500 or less transfer up to £1,250 of their Personal Allowance to their husband, wife or civil partner – if their income is higher and they are a basic rate taxpayer. This will reduce their tax by up to £250 for the 2020 to 2021 tax year. Claims can also be backdated to April 2016 until 5 April 2021. After 6 April 2021, couples will only be able to claim back to the 2017 to 2018 tax year.

The same criteria applies for people in married couples and civil partnerships in Scotland, except your partner must pay Income Tax at the starter, basic or intermediate rates between £12,501 and £43,430.

The Personal Allowance rate for the 2021 to 2022 tax year is increasing to £12,570.

Customers are urged to cut out the middle man, who may charge a fee, and receive a guaranteed 100% of their eligible entitlement by applying directly to HMRC via GOV.UK.

Marriage Allowance claims are automatically renewed every year. However, couples should notify HMRC if their circumstances change.

Visit GOV.UK to find out more about Marriage Allowance

Latest news

Chamber's 'Meet the Charity' Series Debuts with Brainwave
March 13, 2024

Bridgwater Chamber of Commerce is proud to announce the successful launch of its "Meet the Charity" series, kicking off with its first event on the 12th of March with Brainwave. The event was part of a new series designed to enhance the connections between businesses and the charity sector by spotlighting the essential work that…

Read More
Video - Spring Budget Overview
March 8, 2024

Thank you to Gavin Roberts from Maxwells Accountants for the 2024 Spring Budget Overview. You may watch the recording of the Overview below.

Read More
Westcotts tax expert offers mixed response to Chancellors Spring Budget
March 8, 2024

Westcotts has welcomed the measures set out in the Spring Budget announcement but expressed disappointment about the lack of substantial policies to help the average small and medium sized business in the South West. Mark Tibbert, Partner and Head of Tax at Westcotts, welcomed several of the announcements including the increased VAT registration threshold, changes…

Read More
Bridgwater Businesses Get Creative with Social Media
March 7, 2024

The SBA CIC and Bridgwater Chamber successfully hosted their initial workshop on "How to Build a Social Media Strategy for TikTok and Reels" on 6th March 2024 at Bridgwater Town Hall. This free event for Chamber members highlighted the power of short-form videos in boosting business visibility. The workshop stood out for its interactive format,…

Read More