How married couples and civil partners can save up to £252 in tax — and how Lexicon Tax can help you claim it correctly
Marriage Allowance is one of the most overlooked tax reliefs available to married couples and civil partners in the UK. Despite being simple in principle, many people either do not realise they qualify or are unsure how it affects their tax position. As a result, millions of couples miss out on tax savings every year.
This comprehensive guide explains exactly how Marriage Allowance works for the 2026–27 tax year, who qualifies, how much you can save, how backdating works, and what to do if your circumstances change. It is written in clear, accessible language so clients can understand the rules without needing specialist tax knowledge.
If you believe you may be eligible — or want expert support to ensure your claim is correct — Lexicon Tax can assist you with the full process.
What Is Marriage Allowance?
Marriage Allowance allows a lower earning spouse or civil partner to transfer £1,260 of their Personal Allowance to their higher earning partner. The Personal Allowance is the amount of income you can earn before paying Income Tax. For 2026–27, the standard Personal Allowance is £12,570.
By transferring £1,260 of unused allowance, the higher earning partner pays tax on £1,260 less of their income. Because basic rate tax is charged at 20%, this creates a maximum saving of £252 in the tax year.
This relief is designed to help couples where one partner has unused tax free allowance and the other is a basic rate taxpayer.
Who Can Claim Marriage Allowance?
You can claim Marriage Allowance if all of the following apply:
- You can claim Marriage Allowance if all of the following apply:
- You are married or in a civil partnership (cohabiting couples do not qualify).
- The lower earning partner has income below £12,570.
- The higher earning partner pays Income Tax at the basic rate.
- In England, Wales and Northern Ireland, this usually means income between £12,571 and £50,270.
- In Scotland, the partner must pay the starter, basic or intermediate rate, which typically means income between £12,571 and £43,662.
- Neither partner receives the Married Couple’s Allowance (available only if born before 6 April 1935).
- You are not claiming Marriage Allowance already.
If the higher earning partner becomes a higher rate taxpayer, the claim must be cancelled.
How the Tax Saving Works
- When the lower earning partner transfers £1,260 of their Personal Allowance:
- Their Personal Allowance reduces from £12,570 to £11,310.
- The higher earning partner’s Personal Allowance increases from £12,570 to £13,830.
- The higher earner saves 20% of £1,260 = £252 in tax.
Although the lower earner may pay a small amount of tax if their income exceeds £11,310, the couple will usually benefit overall.
Example: How Much Can You Save?
HMRC provides a clear example that illustrates how Marriage Allowance works in practice.
Example Scenario
• Lower earner’s income: £11,500
• Higher earner’s income: £20,000
Before claiming Marriage Allowance:
• Lower earner pays no tax (income below £12,570).
• Higher earner pays tax on £7,430 (£20,000 – £12,570).
After claiming Marriage Allowance:
• Lower earner’s Personal Allowance becomes £11,310, so they pay tax on £190.
• Higher earner’s taxable income reduces to £6,170.
Total Household Saving
As a couple, they now pay tax on £6,360 instead of £7,430, saving £214 overall.
This example shows that even when the lower earner begins paying a small amount of tax, the household still benefits.
Tax Code Changes After Claiming
Once Marriage Allowance is approved, HMRC updates both partners’ tax codes:
• Receiver (higher earner): tax code ends in M
• Transferrer (lower earner): tax code ends in N
These codes ensure the correct allowances are applied through PAYE.
If your tax code does not update within two months, HMRC may need to adjust it manually.
How to Apply for Marriage Allowance
You can apply online through GOV.UK or via Self Assessment if you file tax returns.
Online Application
The lower earning partner normally makes the claim. HMRC will adjust both tax codes automatically.
Applying Through Self Assessment
If you file tax returns:
• The person transferring the allowance completes the Marriage Allowance section.
• The person receiving the allowance leaves that section blank.
• If both partners file returns, the transferrer should submit theirs three days before the recipient.
Once claimed, Marriage Allowance continues automatically each year unless cancelled.
Backdating Your Claim
One of the most valuable features of Marriage Allowance is the ability to backdate your claim.
You can backdate to 6 April 2022 for any year you were eligible.
Because the tax saving has been £252 for recent years, backdating up to four years plus the current year can generate refunds exceeding £1,000, paid directly by HMRC.
This is particularly beneficial for couples who have only recently discovered they qualify.
Common Situations Where People Miss Out
Many couples miss out on Marriage Allowance because they assume they are not eligible. Here are common scenarios where eligibility is often overlooked:
- One Partner Works Part Time or Has Recently Reduced Hours
If income drops below £12,570, Marriage Allowance may become available. - One Partner Is on Maternity Leave, Shared Parental Leave or Career Break
Reduced income during these periods can create eligibility. - One Partner Has Pension Income Below the Personal Allowance
Marriage Allowance applies to taxable income, not just employment income. - Couples Who Recently Married or Entered a Civil Partnership
Eligibility begins from the date of marriage or partnership registration. - Couples Living Abroad
You can still claim if you receive a UK Personal Allowance.
When You Should Cancel Marriage Allowance
You must cancel your claim if:
• The lower earner’s income rises above £12,570.
• The higher earner becomes a higher rate taxpayer.
• You divorce or dissolve your civil partnership.
• You begin receiving Married Couple’s Allowance (if born before 6 April 1935).
Failing to cancel may result in incorrect tax codes and unexpected tax bills.
Why Marriage Allowance Matters
Marriage Allowance is one of the simplest ways for eligible couples to reduce their tax bill. Yet HMRC reports that millions of couples still do not claim it, often because they are unaware of the rules or unsure how it affects their tax position.
For many households — especially those with part time workers, parents taking time out of employment, or individuals with low pension income — this relief can make a meaningful difference.
How Lexicon Tax Can Help
At Lexicon Tax, we specialise in helping clients navigate UK tax rules with clarity and confidence. If you think you may qualify for Marriage Allowance — or want to ensure your claim is correct — we can:
- Confirm your eligibility based on your full income profile
- Assist with new claims or backdated claims
- Review your tax codes to ensure HMRC has applied the relief correctly
- Advise on whether Marriage Allowance or Married Couple’s Allowance is more beneficial
- Help you cancel the allowance if your circumstances change
- Provide ongoing tax support for future years
A small amount of unused allowance can lead to meaningful tax savings — and we make the process simple.
Call to Action
If you would like help claiming Marriage Allowance, backdating your claim, or checking whether you qualify, contact Lexicon Tax today. Our team will ensure your claim is accurate, compliant with HMRC rules, and maximises your tax savings.
📞 Get expert support now — speak to Lexicon Tax and secure the relief you’re entitled to
