Marriage Tax Breaks For Four Million Couples

Written By Unknown on Sabtu, 28 September 2013 | 11.46

David Cameron says four million couples will benefit from the Government's new £1,000 marriage tax allowance.

Ahead of the start of the Conservative Party conference, the Prime Minister said the scheme - starting in April 2015 - will be worth up to £200 a year for married couples, including 15,000 in civil partnerships.

They will receive the benefit at the end of the tax year in 2016.

It will work by letting people transfer £1,000 of their personal tax allowance to their spouse or civil partner - an increase on the £750 allowance promised in the Tory manifesto, which would have seen couples gain £150.

The new allowance, which is not available to couples which include a higher rate taxpayer, is aimed at couples where one partner has not used all of their personal allowance or does not work at all.

The move comes after a trade-off that allowed the Liberal Democrats to announce free school meals for all children under eight earlier this month.

The proposal, which Downing Street said shows the Government values commitment by recognising marriage and civil partnerships in the tax system, makes good on promises Mr Cameron made when he was running for leadership of the party in 2005.

In an article in Saturday's edition of The Daily Mail, he said: "I believe in marriage. Alongside the birth of my children, my wedding was the happiest day of my life.

David and Samantha Cameron in Cornwall The PM says 'nothing would be possible' without his wife Samantha

"Since then, Samantha and I have been a team. Nothing I've done since - becoming a Member of Parliament, leader of my party or Prime Minister - would have been possible without her.

"There is something special about marriage: it's a declaration of commitment, responsibility and stability that helps to bind families. The values of marriage are give and take, support and sacrifice - values that we need more of in this country.

"When I ran for the leadership of my party back in 2005, I said that I wanted to do more for marriage in the tax system: a personal pledge that I made right at the start of my campaign - and I then backed that up with a pledge in our manifesto at the last election.

"So this week at the Conservative Party's conference in Manchester, I'm going to deliver on the promise I made.

"From April 2015, if neither of you are higher rate taxpayers, you will be able to transfer £1,000 of your tax free allowance to your spouse.

"In effect, if you pay the basic rate of tax and your partner doesn't use all of their personal allowance, you'll be able to have some of it. Most couples who benefit will be £200 a year better off as a result.

"And of course this will be true if you're gay or straight - and in a civil partnership or a marriage. This summer I was proud to make Equal Marriage the law. Love is love, commitment is commitment."


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