(1)This Chapter contains provisions about entitlement to tax reductions in a case where a party to a marriage or civil partnership was born before 6 April 1935.
(2)Individuals are entitled to tax reductions under the following provisions of this Chapter—
(a)section 45 (marriages before 5 December 2005),
(b)section 46 (marriages and civil partnerships on or after 5 December 2005),
(c)section 47 (election by individual to transfer relief under section 45 or 46),
(d)section 48 (joint election to transfer relief under section 45 or 46),
(e)section 49 (election for partial transfer back of relief),
(f)section 51 (transfer of unused relief), and
(g)section 52 (transfer back of unused relief).
(3)The tax reductions under sections 45 to 49 are subject to section 54 (tax reductions in the year of marriage or entry into civil partnership).
(4)A tax reduction under this Chapter is given effect at Step 6 of the calculation in section 23.
In this Chapter “the minimum amount” means £2,350.
(1)In this Chapter “an election for the new rules to apply” means an election made by a husband and wife who got married before 5 December 2005 for the new rules to apply to them instead of the old rules.
(2)In subsection (1)—
“the new rules” means the rules for relief under section 46 (marriages and civil partnerships on or after 5 December 2005), and
“the old rules” means the rules for relief under section 45 (marriages before 5 December 2005).
(3)An election for the new rules to apply—
(a)must be made jointly by the parties to the marriage,
(b)must be made before the first tax year for which it is to be in force,
(c)continues in force in each subsequent tax year, and
(d)cannot be withdrawn.
(1)If a man—
(a)makes a claim for a tax year, and
(b)meets the conditions set out in subsection (2),
he is entitled to a tax reduction for the tax year of 10% of the amount specified in subsection (3)(a) or (b) (as applicable).
(2)The conditions are that—
(a)for the whole or part of the tax year he is married and his wife is living with him,
(b)the marriage took place before 5 December 2005 and no election for the new rules to apply is in force for the tax year,
(c)he or his wife was born before 6 April 1935, and
(d)he meets the requirements of section 56 (residence etc).
(3)The amount is—
(a)£6,135, if either the man or his wife is aged 75 or over at some time in the tax year, and
(b)£6,065, in any other case.
(4)For a man whose adjusted net income for the tax year exceeds £20,100, the amounts specified in subsection (3) are reduced by—
(a)half the excess, less
(b)any reduction in his personal allowance under section 36(2) or 37(2).
(5)But subsection (4) does not reduce the amounts specified in subsection (3) below the minimum amount.
(6)For the meaning of “adjusted net income” see section 58.
(1)If an individual—
(a)makes a claim for a tax year, and
(b)meets the conditions set out in subsection (2),
the individual is entitled to a tax reduction for the tax year of 10% of the amount specified in subsection (3)(a) or (b) (as applicable).
(2)The conditions are that—
(a)for the whole or part of the tax year the individual is married or in a civil partnership and is living with the spouse or civil partner,
(b)the marriage took place, or the civil partnership was formed, on or after 5 December 2005 or, if the marriage took place before that date, an election for the new rules to apply is in force for the tax year,
(c)the individual, or the spouse or civil partner, was born before 6 April 1935,
(d)the individual meets the requirements of section 56 (residence etc), and
(e)the individual's net income for the tax year exceeds that of the spouse or civil partner or, if they have the same amount of net income for the tax year, the individual is specified in an election as the person to be entitled to relief under this section for the year.
(3)The amount is—
(a)£6,135, if either the individual, or the spouse or civil partner, is aged 75 or over at some time in the tax year, and
(b)£6,065, in any other case.
(4)For an individual whose adjusted net income for the tax year exceeds £20,100, the amounts specified in subsection (3) are reduced by—
(a)half the excess, less
(b)any reduction in the individual's personal allowance under section 36(2) or 37(2).
(5)But subsection (4) does not reduce the amounts specified in subsection (3) below the minimum amount.
(6)An election under subsection (2)(e)—
(a)is to be made jointly by the parties to the marriage or civil partnership, and
(b)is to be made on or before the fifth anniversary of the normal self-assessment filing date for the tax year to which the election relates.
(7)For the meaning of “adjusted net income” see section 58.
(1)If—
(a)an individual's spouse or civil partner is entitled to a tax reduction under section 45 or 46 for a tax year, and
(b)the individual meets the conditions set out in subsection (2),
the individual is entitled to a tax reduction for that tax year of 10% of half the minimum amount.
(2)The conditions are that the individual—
(a)has made an election which is in force for the tax year,
(b)makes a claim, and
(c)meets the requirements of section 56 (residence etc).
(3)If an individual is entitled to a tax reduction under subsection (1), the tax reduction to which the individual's spouse or civil partner is entitled under section 45 or 46 is calculated for the tax year as if the appropriate amount were reduced by half the minimum amount.
(4)In subsection (3) “the appropriate amount” means—
(a)if the individual's spouse is entitled to a tax reduction under section 45, the amount specified in section 45(3)(a) or (b) (as applicable), after any reductions under section 45(4) and 54(2), or
(b)if the individual's spouse or civil partner is entitled to a tax reduction under section 46, the amount specified in section 46(3)(a) or (b) (as applicable), after any reductions under sections 46(4) and 54(2).
(1)If—
(a)an individual's spouse or civil partner is entitled to a tax reduction under section 45 or 46 for a tax year, and
(b)the conditions set out in subsection (2) are met,
the individual is entitled to a tax reduction for that tax year of 10% of the minimum amount.
(2)The conditions are that—
(a)the individual and the individual's spouse or civil partner have made a joint election which is in force for the tax year,
(b)the individual makes a claim, and
(c)the individual meets the requirements of section 56 (residence etc).
(3)If an individual is entitled to a tax reduction under subsection (1), the tax reduction to which the individual's spouse or civil partner is entitled under section 45 or 46 is calculated for the tax year as if the appropriate amount were reduced by the minimum amount.
(4)In subsection (3) “the appropriate amount” means—
(a)if the individual's spouse is entitled to a tax reduction under section 45, the amount specified in section 45(3)(a) or (b) (as applicable), after any reductions under section 45(4) and 54(2), or
(b)if the individual's spouse or civil partner is entitled to a tax reduction under section 46, the amount specified in section 46(3)(a) or (b) (as applicable), after any reductions under sections 46(4) and 54(2).
(1)If an individual whose spouse or civil partner is entitled under section 48(1) to a tax reduction for a tax year—
(a)has made an election which is in force for the tax year, and
(b)makes a claim,
the individual is entitled to a tax reduction for that tax year of 10% of half the minimum amount (in addition to any tax reduction to which the individual is entitled under section 45 or 46).
(2)The amount of the tax reduction to which the individual's spouse or civil partner is entitled under section 48(1) for that tax year is 10% of half the minimum amount (instead of 10% of the minimum amount).
(1)This section applies to elections under sections 47 to 49.
(2)An election—
(a)must, except in the cases dealt with by subsection (3), be made before the first tax year in which it is to be in force, and
(b)continues in force in each subsequent tax year until it is withdrawn.
(3)An election—
(a)may be made in the first tax year in which it is to be in force if that is the tax year in which the marriage takes place or the civil partnership is formed, and
(b)may be made in the first 30 days of the first tax year in which it is to be in force if appropriate notice is given before the tax year.
(4)In subsection (3), “appropriate notice” means notice given to an officer of Revenue and Customs by the individual or (in the case of a joint election) individuals concerned that it is intended to make the election.
(5)An election may be withdrawn only by—
(a)a notice given by the individual or individuals by whom the election was made, or
(b)a subsequent election under section 47, 48 or 49.
(6)If an election is withdrawn under subsection (5)(a), the withdrawal does not have effect until the tax year after the one in which the notice is given.
(7)A notice under subsection (5)(a)—
(a)must be given to an officer of Revenue and Customs, and
(b)must be in the form specified by the Commissioners for Her Majesty's Revenue and Customs.
(1)If—
(a)an individual's spouse or civil partner is entitled to a tax reduction under section 45 or 46 for a tax year,
(b)the spouse or civil partner's MCA tax reductions are greater than the spouse or civil partner's comparable tax liability, and
(c)the conditions set out in subsection (4) are met,
the individual is entitled to a tax reduction for that tax year equal to the unused part of the spouse or civil partner's MCA tax reductions.
(2)The spouse or civil partner's MCA tax reductions are the sum of—
(a)the tax reduction to which the spouse or civil partner is entitled under section 45 or 46, and
(b)any tax reduction under section 49 to which the spouse or civil partner is entitled for the tax year.
(3)The unused part of the spouse or civil partner's MCA tax reductions is equal to—
(a)the spouse or civil partner's MCA tax reductions, less
(b)the spouse or civil partner's comparable tax liability.
(4)The conditions are that—
(a)the spouse or civil partner gives notice to an officer of Revenue and Customs that subsection (1) is to apply for the tax year,
(b)the individual makes a claim, and
(c)the individual meets the requirements of section 56 (residence etc).
(5)The tax reduction to which the individual is entitled under subsection (1) is in addition to any tax reduction to which the individual is entitled under section 47 or 48.
(6)The meaning of “comparable tax liability” is given in section 53.
(1)If—
(a)an individual's spouse or civil partner is entitled to a tax reduction under section 47 or 48 for a tax year,
(b)the tax reduction is greater than the spouse or civil partner's comparable tax liability, and
(c)the conditions set out in subsection (3) are met,
the individual is entitled to a tax reduction for that tax year equal to the unused part of the spouse or civil partner's tax reduction.
(2)The unused part of the spouse or civil partner's tax reduction is equal to—
(a)the tax reduction to which the spouse or civil partner is entitled, less
(b)the spouse or civil partner's comparable tax liability.
(3)The conditions are that—
(a)the spouse or civil partner gives notice to an officer of Revenue and Customs that subsection (1) is to apply for the tax year, and
(b)the individual makes a claim.
(4)The tax reduction to which the individual is entitled under subsection (1) is in addition to any tax reduction to which the individual is entitled under section 45, 46 or 49.
(5)The meaning of “comparable tax liability” is given in section 53.
(1)For the purposes of sections 51 and 52, the comparable tax liability of an individual is the amount of the individual's tax left after Step 6 of the calculation in section 23 for the tax year, making that calculation with the modifications set out in subsections (2) and (3).
(2)In making that calculation, do not deduct any tax reduction under—
(a)section 788 of ICTA (double taxation arrangements: relief by agreement), or
(b)section 790(1) of ICTA (relief for foreign tax where there are no double taxation arrangements).
(3)If the individual's entitlement to a tax reduction under this Chapter is extinguished under section 423(4) (gift aid: restriction of reliefs) to any extent, deduct from the amount calculated in accordance with subsections (1) and (2) the amount by which the tax reduction is reduced.
(4)A notice under section 51 or 52—
(a)must be given on or before the fifth anniversary of the normal self-assessment filing date for the tax year to which it relates,
(b)must be in the form specified by the Commissioners for Her Majesty's Revenue and Customs, and
(c)cannot be withdrawn.
(5)For the purposes of this section a person is treated as being entitled to a tax reduction under section 788 of ICTA if the person is entitled to credit against income tax under double taxation arrangements.
(1)Subsection (2) applies if an individual—
(a)gets married or enters into a civil partnership in a tax year, and
(b)claims a tax reduction under section 45 or 46 for that tax year.
(2)In calculating the amount of the tax reduction (if any) to which the individual is entitled under that section, the amounts specified in section 45(3) or 46(3) (as applicable) are reduced by one twelfth for each month of the tax year which is a month ending before the date on which—
(a)the marriage took place, or
(b)the civil partnership was formed.
(3)The reference in subsection (2) to the amounts specified in section 45(3) or 46(3) is to those amounts after any reduction under section 45(4) or 46(4).
(4)But if—
(a)the individual has previously been married or in a civil partnership in the same tax year, and
(b)the conditions in section 45(2) or 46(2) are met in relation to the earlier marriage or civil partnership,
subsection (2) applies only if the claim is in respect of the later marriage or civil partnership.
(5)If a claim under section 47, 48 or 49 is for the tax year in which the marriage takes place, or the civil partnership is formed, the references in those sections to the minimum amount are to be read as references to the minimum amount reduced by one twelfth for each month of the tax year which is a month ending before the date on which—
(a)the marriage took place, or
(b)the civil partnership was formed.
(6)In this section, “month” means a period beginning with the sixth day of a calendar month and ending with the fifth day of the next calendar month.
(1)An individual is not entitled to more than one tax reduction under sections 45 to 48 for a tax year (regardless of whether the individual is a party to more than one marriage or civil partnership in the tax year).
(2)For the purposes of sections 45 and 46 an individual is treated as having reached the age of 75 in a tax year if the individual was due to reach the age of 75 in the tax year, but dies in the tax year before reaching that age.
(3)Unless this Chapter provides otherwise, a tax reduction to which an individual is entitled under this Chapter for a tax year, including the tax year in which the individual dies, is given in full.