Hello and welcome to the site. Thank you for your question.
If you are born between 6 Apr 1938 and 5 Apr 1948 then your personal allowance is £10,600 i.e. the first £10,600 is tax free and the rest is taxed at 20%.
From 6 April 2015 it is possible for some couples to transfer 10% of the personal allowance between them. This is being called the ‘Marriage Allowance’. It is completely different from the Married Couple’s Allowance. (The Married Couple’s Allowance is a reduction in the tax bill which can be claimed by some couples aged 80 or over on 5 April 2015).
The conditions are:
- You are married or civil partners
- Neither you nor your partner pay tax at higher (40%) or additional (45%) rates
- You are under the age of 80 on 5 April 2015
The amount you transfer in 2015-16 is £1,060. That is 10% of the personal allowance of £10,600. The maximum tax saving is £212 in the year to 5 April 2016 (this is 20% x £1,060).
I hope this is helpful and answers your question.
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