2025/26 year end tax planning guide

The run up to the end of the tax year on 5 April 2026 is a good time to check that your family and business finances are arranged in the best way possible.

In this year end tax planning guide, we look at useful ways to take advantage of available tax reliefs and planning opportunities.

At PKF Francis Clark, we work together across accounting, tax and financial planning to give you clear, joined‑up advice that supports your wider goals.

Please do not hesitate to get in touch if you would like to discuss your situation with us.

Key tax updates and year end considerations

Several important tax changes are shaping year‑end planning this time around. Frozen thresholds, higher dividend tax from April 2026, new rules for property income, and upcoming shifts to ISAs and pension‑related IHT all mean that many people will feel the impact over the next two years and beyond. This update highlights the main changes on the horizon and what they could mean for your personal and business decisions as 5 April approaches.

Income, savings and dividend planning for individuals and families

Rising tax pressures make it more important to use the full range of allowances available to you and your household. From income allocation between spouses to smarter use of savings and dividend allowances, there are several practical ways to keep your tax bill in check. This section explores how families, couples and individuals can make day‑to‑day planning more efficient.

Capital gains, inheritance tax and estate planning updates

Changes to capital taxes remain a major theme this year. From the lower CGT annual exemption to the rising BADR rate in 2026 and the far‑reaching reform of APR and BPR, the landscape is shifting quickly. There are also new rules coming on the treatment of pension death benefits for IHT. This summary explores what’s changing and what it might mean for your future plans.

Pensions, child benefits and tax‑efficient savings strategies

Pension contributions continue to offer some of the most valuable tax benefits, especially when they help keep adjusted net income below key thresholds. Changes to child benefit rules, the tapered annual allowance, and new requirements around claiming relief all play a part in shaping your choices for the year ahead. This update looks at how pensions and other savings products can support longer‑term planning.

Using investments and allowances to maximise tax efficiency before 5 April 2026

As the end of the tax year gets closer, it’s worth checking which allowances you’ve used and which might be lost if not taken now. ISAs, pensions, capital allowances and various investment reliefs can all play a role in reducing your tax exposure. This round‑up looks at ways to make the most of the current rules before they reset on 6 April.

Employer year end compliance reporting

As the tax year ends, employers are required to complete several employment tax reporting and payment obligations. Year‑end compliance for employee benefits and expenses can be particularly complex, with multiple reports, deadlines and payment requirements to manage.

Year end planning is a chance to look at your tax position alongside your wider personal and business goals. Taking a little time now can help you use key allowances, avoid unnecessary charges and prepare for the changes coming in April.