End of Tax Year: Key Deadlines & Tax Strategies
As we approach the end of the UK tax year in April, self-employed individuals, freelancers, contractors, landlords, and people with additional income sources need to be aware of impending deadlines and tax planning strategies.
In this blog, our taxation experts will provide you with details of the key self-assessment tax dates, as well as provide personal tax advice to help you manage your tax effectively, ensure compliance with HMRC and most importantly avoid any financial penalties.
Important Self-Assessment Tax Deadlines
Understanding key tax deadlines is crucial to staying on top of your financial responsibilities. Here are important dates to keep in mind for the tax year ahead.
- 31 January Online Self-Assessment tax return submission deadline for tax year 2023/24
- 31 January Deadline for paying tax due for the 2023/24 tax year
- 31 January First payment on account for the 2024/25 tax year
- 5 April End of the 2024/25 tax year
- 6 April Start of the 2025/26 tax year
- 31 July Second payment on account for the 2024/25 tax year
- 5 October Deadline to register for Self-Assessment for the 2024/25 tax year
- 31 October Paper Self-Assessment return submission deadline for tax year 2024/25
- 31 January 26 Online Self-Assessment tax return submission deadline for tax year 2024/25
Last minute tips for the self-assessment deadline
With this year’s self-assessment deadline rapidly approaching, we have some key considerations to help make the process a little less stressful.
- Gather your documents: Ensure you have all necessary records, such as invoices, receipts, and bank statements to ensure you accurately report your income.
- Check for allowable deductions: Expenses such as home office costs, travel, and professional fees can reduce your tax liability.
- Declare all additional income sources: Ensure you include any income from side businesses or investments in your tax submission.
- Understand what happens if you miss the self-assessment deadline: Failure to submit by the deadline can result in penalties, including a £100 fine for anything up to 3 months late and further daily penalties after that period.
Effective Tax Planning Strategies for the 2025/26 Tax Year
With the end of the UK tax year for 24/25 close, it is the perfect time to review your financial plans and implement strategies to optimise your tax efficiency for the new tax year.
Here is a selection of tax efficient strategies for you to consider that can help minimise your liabilities.
Utilising your tax-free allowances It’s important to make full use of the available tax-free allowances available to help you lower your tax liabilities. For example, if you receive dividend income, there is a £1,000 dividend allowance available by timing payments efficiently across tax years. Additionally, investing in an ISA allows you to increase your tax-free savings, with a contribution limit of £20,000 for the tax year to be utilised within a Cash ISA for savings or a Stocks and Shares ISA for a long-term investment.
Planning for Capital Gains Tax (CGT) changes
Increases to the CGT rates were announced in the Autumn Budget 2024 and are set to take effect from 6th April. These changes make it necessary for those considering the disposal of business assets or investments to review their situation. It may be beneficial to advance the sale of qualifying assets to before 6 April 2025 to secure the current lower CGT rates. Whilst those with investments should consider restructuring to optimise them for tax efficiency under the new rates.
Utilising pension contributions
Pension contributions are a smart way to reduce taxable income while planning for the future. You can receive tax relief at your highest income tax rate—20% for basic-rate, 40% for higher-rate, and 45% for additional-rate taxpayers. The annual allowance is currently £60,000, including personal and employer contributions, with the option to carry forward unused allowances from the past three years. Contributing to your pension can lower your tax bill and boost long-term savings.
Why choose Edwards Chartered Accountants to support with your personal tax strategy?
Navigating tax deadlines and planning strategies can be complex, but you don’t have to do it alone. our experienced team of tax advisers and accountants in Walsall provide bespoke personal tax advisory services to help you take a bespoke approach to tax planning. Whether you’re self-employed, a landlord, or have multiple income streams, we’ll ensure you maximise allowances and stay compliant.
Get in touch today to make the most of your financial opportunities.
