00:00Each of you have your £12,570 personal allowance.
00:04That's the amount you can earn that you don't pay tax on each year.
00:06Yep, you all know that?
00:07OK.
00:09So the non-taxpayer can apply to gov.uk.
00:13I'm going to give you a question about that later, there's an issue there.
00:16But apply to gov.uk to move 10% of their tax-free allowance
00:20across to the basic rate taxpayer.
00:22There we go.
00:24Perfect.
00:25The net result of that is the non-taxpayer
00:28now has an allowance of £11,310,
00:31and the taxpayer has a combined allowance of...
00:34It should merge, if I'm lucky.
00:36There we go.
00:37£13,830.
00:39Now, that 10% extra tax-free allowance they have,
00:43remember, they would have paid tax on it at 20%,
00:46so the gain there is £252 a year.
00:51And that's what moving across works.
00:52And in virtually every circumstance,
00:54even if the person here earned a little bit above that threshold
00:59where they might pay a little bit of tax,
01:00but as long as the person on this side
01:02is earning over £13,830,
01:04you're always going to be net up
01:06if there's a non-taxpayer and a taxpayer.
01:09Either put in your diary now
01:10to do this on the 1st of March.
01:12There are 2.1 million eligible couples
01:15who are not claiming this,
01:16who should be claiming this and could gain.
01:17So do it on the 1st of March.
01:19Or if you're the type of person,
01:20and some people are who go,
01:21if I don't do it now, I'll never do it,
01:23then you can go on to gov.uk,
01:24you can download a form online,
01:26and then you can post that in.
01:27And as long as it all happens,
01:29before the 5th of April,
01:30you will get this year's,
01:32and you will be able to backclaim the prior four years.
01:35you will be able to backclaim the prior four years.
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