I work a regular 9-5 job earning a decent wage. My wife works one or 2 days during the week and gets a varying, low wage.

I've started selling items in my spare time and it's gotten to the point where I'm making enough to think about the tax implications.

My understanding is that in the UK each individual gets a personal non-taxed income allowance. Obviously my income would be used up by my salary, however I don't believe my wife's would be.

Currently my wages and my extra income go into a shared bank account and her wages go into a separate bank account under her name.

Ideally I'd like to use her allowance to offset any tax we/I would have to pay on income from my selling.

Is this legal? How would I go about doing this?

  • 3
    So do the invoices and all payments in your wife's name. This is legal if all the payments in/out are in your wife's name. If they are in your name and then you try to use your wife's allowance, that is illegal. – DumbCoder Dec 22 '14 at 12:49
  • Thanks. Currently they are in my name, but that could be changed easily enough. – George Duckett Dec 22 '14 at 12:51
  • or set this up as a company and make both of you directors and pay her for being company secretary – Pepone Dec 23 '14 at 0:36
  • 1
    Check this also gov.uk/married-couples-allowance/overview – DumbCoder Dec 23 '14 at 9:21
  • @DumbCoder: Thanks. Looking at the requirements though we fail the "one of you was born before 6 April 1935" test. – George Duckett Dec 23 '14 at 9:25

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