Wife pregnant - Can I get her Tax free allowance?

[agwa]

Hi,

My wife will be going on maternity leave soon.
The company she works for doesn't provide any maternity benefit - we'll have to cope with just getting the statutory benefit from the state.

Are there any tax strategies that we could use to benefit us while she's on maternity leave (6 months paid plus potentially another 2/3 unpaid). For example, could I take her tax credits? Is it worth it? If not, Is she eligible for a tax rebate at some stage in the future?

I'm in the 41% band, she's in the 20% band

Cheers,
agwa

 

[papervalue]

Hi,

My wife will be going on maternity leave soon.
The company she works for doesn't provide any maternity benefit - we'll have to cope with just getting the statutory benefit from the state.

Are there any tax strategies that we could use to benefit us while she's on maternity leave (6 months paid plus potentially another 2/3 unpaid). For example, could I take her tax credits? Is it worth it? If not, Is she eligible for a tax rebate at some stage in the future?

I'm in the 41% band, she's in the 20% band

Cheers,
agwa

More than likely at present you have higher tax band at 45k already?

for rest of 2010- leave as is and in feb 11 file a tax return for 2010 to get a balancing statement and any tax overpaid will be refunded(so late in year now)

for 2011- you can only take her share of married credit(cant take her paye credit) Ring tax office before new year to transfer that element of credit and band if necessary- should increase you weekly net them give it back her credits/bands when she returns to work in 2011

 

[agwa]

Thanks for your response Papervalue,

I'll certainly be looking into what you advise.

Thanks again,
Agwa