What should be on your end of tax year plan?


During this time of financial uncertainty, it's crucial to take care of the aspects of your life that you can control. So, why not be proactive and take charge of your finances now that the end of the tax year is just around the corner?

This month, you should consider how external variables, such as reduced or frozen allowances, along with rising inflation, could affect your finances at the end of the tax year and what steps you need to take before 5 April 2023.

Making the most of any tax planning possibilities that may be available to you should be a significant aspect of your preparation. Before you know it, the tax year will be coming to an end, so now’s the ideal time to see whether you’ve used all of your annual allowances to the fullest extent possible for optimal tax efficiency.

In the autumn statement, Jeremy Hunt announced reductions in tax allowances in the next financial year. Dividend allowance is reducing from £2,000 to £1,000 and then to £500 in 2024/5. There’s likely to be more changes throughout the next tax year, so it’s important to consider how you can make the most of current allowances.

Using your allowances wisely and managing your money is essential, now more than ever.

Now you still have time, don't wait until the last minute to consider how you could enhance your allowances.

A financial plan fit for you

Planning for the end of the tax year requires consideration of a wide range of factors.


  • Increasing your pension contributions
  • Taking advantage of your dividend allowance
  • Inheritance tax planning (IHT)
  • Capital Gains Tax (CGT)
  • Annual exemption and tax-efficient investments like your ISA (Individual Savings Account), JISA (Junior Individual Savings Account)
  • Venture Capital Trusts (VCTs) and Enterprise Investment Schemes (EISs).

Even if you’re unable to fully utilise your ISA or JISA subscriptions or contribute the maximum amount to your pension right now, every little bit counts and it will eventually add up to a significant difference, moving you closer towards safeguarding your financial future.



What should I do before 05 April 2023?


  • Use your ISA allowance - your annual Individual Savings Account (ISA) amount is still available for use. Due to the fact that all income and investment gains are tax-free, ISAs are a desirable way to save money over the long term. You lose this year’s allowance if you don't utilise it before the end of March, so it's always worthwhile to increase the tax-efficiency of your investments and savings.
  •  Top up your pension - how much have you already contributed to a pension this tax year? Your annual allowance, which is the maximum amount of pension contributions you are allowed to make each year and still be eligible for tax relief, is still £40,000. But keep in mind that based on your particular situation, this could be lower.

  •  Reduce your inheritance tax bill - to lower the value of your estate for inheritance tax (IHT) purposes, you can make tax-efficient gifts of money. For instance, this could help kids get a foot on the property ladder or pump-prime their retirement.


  •  Submit your annual accounts - before the conclusion of the fiscal year, businesses must submit their annual accounts to HMRC. There will be an income statement, a profit and loss statement, a statement of financial position (containing all assets, capital, and reserves) and footnotes. The footnotes should contain any information regarding any transactions between the directors and the business, such as loans or guarantees.

  •  Make sure payroll details are updated - you must finish or submit your HMRC payroll before the end of the fiscal year. As part of this, make sure all payroll records are current and start gathering P60s for your team members, which must be sent by May 31st. The end of the fiscal year could also be a good opportunity to evaluate your payroll system and, if necessary, think about upgrading this.

  •  Make sure you have no unclaimed expenses - check for any unused expenses, please. To ensure you are receiving the correct tax deductions, go over any purchases you made on the company's behalf and make sure they have all been claimed.

 Plan ahead for the next financial year

 Consider where you want to be in a year. Do you aspire to succeed or are you content to merely survive next year? After completing the challenging necessities, begin making plans for the following fiscal year: 

  1. VAT
  2. How much will you be able to save into ISAs or investments?
  3. Are you due any tax refunds?
  4. Tax credits
  5. Pensions
  6. How can you cut down on costs?
  7. Review your suppliers – could you get a better deal elsewhere?

For more information and advice on what you need to do and what you could be thinking about before the end of the financial year, get in touch or call 0121 285 8528. 

Disclaimer: The value of your investments can go down as well as up, so you could get back less than you invested.

The purpose of this communication is to provide technical and generic information and should not be interpreted as a personal recommendation or advice.

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