With the tax year ending on 5 April, the window for action is closing.

Once midnight passes, most opportunities are gone.

This isn’t about last-minute panic.
It’s about making sure you haven’t left legitimate tax planning on the table.

Below is a practical, structured checklist to review before the 2025/26 tax year closes.

For many business owners and directors, pensions remain one of the most powerful tax planning tools available.

Before 5 April, consider:

• Have you maximised your annual allowance (£60,000 for most individuals, subject to tapering)?

• Could your limited company make an employer contribution?

• Are you close to higher-rate tax this year?

Why this matters:

• Personal contributions extend your basic rate band

• Company contributions reduce Corporation Tax

• Funds grow tax efficiently

A well-timed contribution can reduce both personal and corporate tax in one move.

Your ISA allowance for 2025/26 is £20,000.

If unused by 5 April, it is lost. It cannot be carried forward.

ISAs don’t reduce your tax bill today, but they protect investment growth and dividends from future tax.

For directors building long-term wealth, this forms part of a structured extraction and investment strategy.

If you operate through a limited company:

• Have you utilised your dividend allowance?

• Are you close to entering higher-rate tax?

• Does it make sense to accelerate or defer dividends?

Dividend timing can materially affect your personal tax position.

But dividends must be supported by retained profits and proper documentation.

In some cases, a year-end bonus may:

• Reduce Corporation Tax

• Shift tax bands

• Align remuneration with profit levels

However, bonuses trigger National Insurance.

This requires careful modelling, not guesswork.

Have you:

• Purchased equipment this year?

• Considered bringing forward planned expenditure?

• Reviewed Annual Investment Allowance usage?

Timing capital expenditure before 5 April can reduce taxable profit for the year.

But purchases should be commercially justified, not purely tax driven.

If you are a director:

• Is your loan account overdrawn?

• Are you approaching a Section 455 charge?

• Should dividends or salary be declared before year-end?

Ignoring director loan balances can create unexpected tax charges.

If profits are lower this year:

• Can losses be carried back?

• Should they be offset against other income?

• Is incorporation or structural change worth reviewing?

Loss relief decisions can’t always be undone after the year closes.

If you operate as a sole trader:

• Are you close to higher-rate tax?

• Should pension contributions be increased?

• Is incorporation worth reviewing before next year?

With Making Tax Digital for Income Tax approaching, this is also a natural time to review structure.

Where appropriate:

• Are shareholdings structured efficiently?

• Are allowances being fully utilised?

• Is income being concentrated unnecessarily?

Family planning must be structured correctly, but when done properly, it can improve overall tax efficiency.

Sometimes the correct decision is no action.

But that decision should be intentional, not accidental.

A short review before 5 April provides clarity.

The tax year end is not about aggressive schemes.

It’s about:

• Reviewing what’s within your control

• Using available allowances

• Structuring extraction properly

• Avoiding preventable tax

After 5 April, the planning window closes.

If you would like your 2025/26 position reviewed before the year ends, contact Llewellyns and we’ll assess where you stand.

Small adjustments now can have a lasting financial impact.