Mark Russell

Hi After an appeal MA was withdrawn by HMRC for 2023/24 and 2024/25. All now resolved. Calculations now work and our total self assessment tax payable reduced by £252.

Hi After an appeal MA was cancelled by HMRC for 2023/24 and 2024/25. All now resolved.

Hi Is there any feedback on this?

Hi Gary Your maths is fine. However my earned income was unexpectedly in the end more than £12570 and not only have I transferred my allowance to my wife, I also lose £1260 of my starting rate. My wife gets the tax reduction of £252, but I pay tax of £252 on the MA I transferred but also pay tax on the starting rate allowance that I lost. Overall we are £252 worse off than if the election hadn't been made. To compound matters I haven't been able to withdraw the MA election for 2023/2024 or 2024/25. I tried to do it in April 24 but the system would only allow me to do it for 2025/26. The help desk stated that as the 2024/25 tax year had started they couldn't change the election for that year so it looks like there will be the same issue for this tax year. I have appealed against this election issue as well as the overall calculation.

Hi Whirlygig I have raised this query too. The former is how it was calculated on my self assessment which means I transferred £1260 to my wife in allowance but also lost £1260 in starting allowance. My wife received the £1260 MA but not any additional starting allowance. This means that between us we are paying additional tax of £1260*20% =£252. I got nowhere with HMRC with this but have put in an appeal which of course takes for ever! I think there is a fundamental problem with the maths around this.

Hi As I was a non tax payer, over the last few years I have transferred the married allowance to my wife. In the last tax year due to increased earned income, higher interest rates and frozen allowances for 2023/24 I have become a tax payer. When doing the self-assessment for 2023/24, I noticed that as well as my personal allowance being reduced by £1260, the starting rate for interest was also reduced. My wife did not have a corresponding increase in her starting allowance. This now means that between us we are paying £1260*20% more in tax than if we had no MA election in place. Is this how it should be? I have cancelled the MA going forward but can't cancel it for 2023/24 or 2024/25 (where the same problem will inevitably exist)