SAM121545 | Taxpayer wants to transfer surplus allowances to the spouse or civil partner - Action 4

Where the taxpayer wants to transfer surplus allowances to the spouse (box 11 on the Married couple’s allowance section on the Additional information page Ai 3 or box 14 on the tax reliefs section page TR4 (box 16 for earlier years), follow steps 1 - 3 below.

1. Using the calculation in the return determine the total allowances used by the taxpayer for the return year

2. Calculate the allowances available for transfer to the spouse

3. Notify the office with processing responsibility for the taxpayer record of the spouse of the allowances available.

Note: If you are dealing with an amended return only notify the office with processing responsibility where the total differs from your original notification. If the surplus decreases and you decide not to withdraw the excess allowances from the spouse

• Recalculate the SA liability manually

• Use function CREATE RETURN CHARGE to enter the liability on the SA taxpayer record