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Hi Sir,
First, I would like to thank you for all your help and support.
In the lecture regarding Brand and Angelina, you mentioned that the marriage allowance is available with Brand transferring 1060 of his personal allowance to Angelina.
My main doubt is the fact that Angelina is a higher rate tax payer while according to 3.1 in Chapter 2, the marriage allowance election is only available when both taxpayers are either just a basic rate taxpayer or non taxpayer.
I thought in the lecture I worked the example David and Victoria – Can you tell me where I did the example you refer to as I cannot remember that one!
Hi,
Thanks for the quick response.
It is lecture 6 of chapter 2. The lecture which is 50:44 long.
At around 11:54, you mention that marriage allowance is available.Good afternoon Sir,
This comes to say thank you for all your lovely lectures, they are very detailed and straightforward.
Sir, I have same question on joined owned asset of married couple as express by above student. It is in chapter 2, lecture 6. The question was a made up question written on the screen as follow:
Brad and Angelina are married couple. Angelina has income of £50,000 p.a which includes £5,000 of property income, jointly owned property with Brad. Brad only income is £5000 from the jointly owned property. No election has been made by them, would it be worthwhile to make election on the basis of 80/20% actual ownership share.
On this solution given, despite that Angelina income is £50,000, higher rate tax payer, the partner transferable personal allowance (212) was deducted from her tax liability.
According to your explanation and ACCA finance act 2015 article which you referred us to read, it says ‘transferable amount of personal allowance can be transfer to partner provided either partner is a basic rate taxpayer or non taxpayer’
My question is, is Angelina entitled to transferable amount of personal allowance as shown in the solution?
Thank you for your time on this, I look forward to you shedding light on the question.
Thank you both for bringing this to my attention and you are both completely correct that the transferable amount of the PA is NOT available where the taxpayer is a higher rate taxpayer!
I had completely forgotten that I had originally recorded it as it was replaced with a corrected version but I have posted the wrong one online – my apologies to Fatima for not even recognising the name of the example!
I am currently lecturing overseas but will be returning to the UK at the end of next week and will search for the correct file and if I have deleted the wrong one I shall record the lecture again.
Once more my apologies for the error and my thanks to you both for alerting me to the problem which I will correct next weekend upon my return home.
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