Thanks but I'm still unclear on my exact question. To put things another way, If my personal allowance is £12570 and I also have £1000 of marriage allowance, will the first £18570 of savings interest be tax free if I have no other income?
Hi, Does marriage allowance impact savings starting rate. ie; (My personal allowance is £12570) If I earn £13570 pa and I receive £5000 of savings interest pa, I only get tax relief on £4000 of my savings interest. If I use marriage allowance to gain tax relief on the £1000 of income I earn above my personal allowance, will I then get the full £5000 savings starting rate relief on the savings?
Hi, Hypothetically, if my income is exactly £12570, I won't pay income tax on this amount as my personal allowance is £12570. In addition, I can earn up to £5000 interest on my savings and still remain free of any tax due to the savings starter rate. So, if I use the marriage allowance scheme to increase my personal allowance by £1260 to £13830, do I still get £5000 on savings interest tax relief on top of the new personal allowance figure,
ie; £13830 + £5000 = £18830 total? Regards, .