Prime Minister David Cameron has pledged to bring forward plans for a marriage tax break in the face of a planned Tory rebellion over the issue.
The Prime Minister told MPs:
“The point is that we are going to be putting in place the marriage tax proposal in law. We will be announcing plans for that in this parliament, quite shortly in fact.”
MPs should let the government “get on with it”, he said.
Provisions for a ‘transferable tax allowance’ are now expected to be included in Chancellor George Osborne’s autumn statement, Sky News reports. The measure would then come into force in 2014. A 2015 introduction had previously been planned.
A transferable tax allowance will allow spouses who are not working to transfer part of their tax-free allowance to the working partner, saving such couples round £150 per year.
A group of Tories led by East Worthing and Shoreham MP Tim Loughton had planned to push for an amendment to the recently introduced Finance Bill 2013 tomorrow (Tuesday July 2).
The 51 year-old MP said he would happily abandon the amendment vote if the government’s plans were confirmed.
“If it is going to come in the Autumn Statement I, for one, will be absolutely delighted to welcome it,” he said.
In an interview with Radio 4, Loughton admitted that the tax break would be unlikely to prevent marriages ending.
“But it’s an important message and it’s also the start of something.”