Money-saving expert Martin Lewis urges married people across the country to take hundreds of pounds of tax breaks before it’s too late.
In a talk on ITV’s Martin Lewis Show, the Consumer Finance Guru urged couples to claim the marriage tax allowance before the 2020/21 tax year ended.
The allowance is useful for married couples where one person earns less than the annual tax-free allowance. They can then pass their tax break on to their partner, which can save them hundreds of pounds.
The best part of the system is that the allowance can be backdated for up to four years.
Eligible couples need to act quickly, however, as the new tax year begins April 6, 2021. This means that claims for the 2016/17 tax year have to be submitted very quickly.
In the broadcast of the current series, Martin said: “At the moment you can go back to the 2016/17 tax year for many things, but in three weeks, on April 6, you will only be able to go back to the tax year.” Tax year 2017/18.
“That is, if you don’t get some things done quickly, you run the risk of missing out.
“First, there is the marriage tax allowance. Here a non-taxpayer is married to a taxpayer with a base rate of 20%. You can then apply to Gov.uk to shift 10% of your tax-free personal allowance to the taxpayer who saves then 20% on it.
“So this year that would be a profit of £ 250.
“And if you’re eligible, you can backdate it in those four years. Do it now and you’d get 2016-17, but if you left it for three weeks you’d lose that and it’s about 200 pounds by 2016.” / 17 worth. “
Martin also urged those with PPI claims or those wearing uniforms to review their tax breaks, as these can also be reclaimed for up to four years.