HMRC has revealed that March is the most popular month for Marriage Allowance applications, with almost 70,000 couples applying in the third month of 2023.

As well as reducing a couple’s tax bill for the 2023/24 tax year by up to £252, there is the option to backdate the claim for the previous four tax years. This means eligible couples could receive a lump-sum payment worth more than £1,000.

The Marriage Allowance saves couples money by allowing the lower or non-earner to reduce the amount of tax their partner pays by transferring up to £1,260 of their Personal Allowance to their husband, wife or civil partner.

To benefit from the tax relief, one partner must have income less than the Personal Allowance of £12,570, and the higher earning partner’s income must be between £12,571 and £50,270 (£43,662 in Scotland). People can find out in 30 seconds if they are eligible by using the online Marriage Allowance calculator.

Angela MacDonald, HMRC’s Deputy Chief Executive and Second Permanent Secretary, said: ‘The Marriage Allowance keeps money in your pocket by reducing the amount of tax you and your spouse pay by up to £252 a year.’