Tax year end checklist: 10 things to do before 5 April

You can save up to £20,000 tax-free in ISAs this tax year. This includes Cash ISAs, Stocks and Shares ISAs, and Innovative Finance ISAs. Any unused allowance vanishes on April 6th. Even if you can only contribute a small amount, it's worth doing — the tax-free wrapper stays in place permanently. 2026/27 is also the last tax year under-65s can put the full £20,000 into Cash ISAs: from 6 April 2027 the Cash ISA limit for under-65s falls to £12,000 within the £20,000 overall allowance. If you already have an ISA, check the rate is still competitive. You can transfer to a better provider without losing the tax-free status.

If you have a LISA, you can contribute up to £4,000 this tax year and receive the 25% government bonus (up to £1,000). The bonus is usually paid within 4-8 weeks of your contribution. If you're close to the £4,000 limit, top it up before April 5th. If you haven't started one and you're under 40, open one now — even with a small amount — to start the 12-month clock ticking.

The annual pension allowance is £60,000 (or 100% of your earnings, whichever is lower). If you haven't maximised this, additional contributions before April 5th reduce your tax bill. Higher-rate taxpayers get 40% tax relief on pension contributions, so a £100 contribution effectively costs them £60. You can also carry forward unused allowance from the previous 3 tax years, as long as you were a member of a registered pension scheme in those years.

The CGT annual exempt amount is £3,000 for 2026/27. If you have investments outside an ISA with unrealised gains, consider selling enough to use this allowance — then reinvest if you wish (known as 'bed and ISA' if you repurchase within an ISA). This effectively shelters £3,000 of gains from tax every year. It's especially valuable if you're sitting on large gains that will only grow.

Your tax code determines how much income tax you pay through PAYE. An incorrect code means you might be overpaying or underpaying tax. Check your tax code on your payslip and compare it to what HMRC says via your Personal Tax Account online. Common errors include not receiving your full personal allowance, or still being taxed for a benefit-in-kind you no longer receive.

If one partner earns less than the personal allowance (£12,570) and the other is a basic-rate taxpayer, you can transfer £1,260 of the lower earner's allowance to the higher earner. This saves the couple up to £252 per year. You can backdate claims for up to 4 previous tax years, potentially reclaiming over £1,000. Apply through HMRC's website — it takes 10 minutes.

If you're a higher-rate taxpayer and have made Gift Aid donations this year, you can claim back the difference between basic and higher-rate tax relief through your self-assessment return. On a £100 Gift Aid donation, the charity claims £25 from HMRC, and you can claim back an additional £25 in tax relief. If you're planning a donation, make it before April 5th to claim relief in this tax year.

The tax-free dividend allowance is £500 for 2026/27. If you're a company director paying yourself dividends, or you hold shares outside an ISA, plan your dividends to use this allowance. Amounts above £500 are taxed at 10.75% (basic), 35.75% (higher), or 39.35% (additional rate) in 2026/27.

If you're self-employed or have income outside PAYE, make sure your record-keeping is up to date for the 2026/27 tax year. While the online filing deadline isn't until 31 January 2028, organising records now (while the year is fresh) saves stress later. Note any expenses you can claim, and file early if possible — you'll know exactly what you owe and can plan accordingly.

Use the last few days of the tax year to set up good habits for the next one: