End of Tax Year Checklist: 10 Smart Tax Moves Before 5 April

A simple guide to using your allowances before the tax year ends.

As the UK tax year draws to a close on 5 April, it’s a good opportunity to review your finances and make sure you’re making full use of the tax allowances available to you.

Many of these allowances reset each year, meaning that if they aren’t used before the end of the tax year, the opportunity may be lost.

Below is a simple checklist to help ensure you’re not missing anything important before the deadline.

1. Use Your ISA Allowance

Individual Savings Accounts (ISAs) remain one of the most valuable tax-efficient savings tools available.

Each adult has an ISA allowance of £20,000 per tax year. Investments held within an ISA grow free from:

• Income tax

• Capital gains tax

• Tax on dividends

If you haven’t used your allowance this year, consider topping up before 5 April.

2. Review Pension Contributions

Pensions offer some of the most generous tax advantages available for long-term saving.

For most people, the annual pension allowance is £60,000, and contributions benefit from tax relief at your highest marginal rate.

For higher earners, the allowance may be tapered, so it’s particularly important to review your position before the end of the tax year.

3. Consider Using Your Capital Gains Tax Allowance

If you hold investments outside of tax-efficient wrappers like ISAs or pensions, you may want to review whether gains can be realised within the Capital Gains Tax (CGT) allowance of £3,000.

This can sometimes form part of a wider strategy such as:

• Rebalancing investments

• Gradually moving assets into an ISA (often referred to as a “Bed & ISA” strategy)

4. Check Your Dividend Allowance

The dividend allowance is £500 for the current tax year.

If you hold shares outside an ISA or pension, reviewing how dividends are distributed may help ensure you are managing your income as tax efficiently as possible.

5. Make Use of Inheritance Tax Gifting Allowances

There are several allowances that allow you to gift money without it forming part of your estate for inheritance tax purposes.

The most common is the annual gifting allowance of £3,000.

Additional allowances include:

• Gifts of £250 per person

• Wedding gifts

• Regular gifts from surplus income

These allowances reset each tax year.

6. Consider Junior ISA Contributions

If you have children or grandchildren, the Junior ISA allowance is £9,000 per child per tax year.

These accounts allow investments to grow tax-free until the child turns 18.

7. Review Your Spouse’s Allowances

Couples can often improve their overall tax efficiency by ensuring both partners make use of their available allowances, including:

• ISA allowances

• Capital gains tax allowances

• Dividend allowances

• Personal income tax allowances

A simple restructuring of investments between spouses can sometimes make a meaningful difference.

8. Explore Tax-Efficient Investments

Some investors may consider tax-efficient investments such as Venture Capital Trusts (VCTs) or the Enterprise Investment Scheme (EIS).

These can offer tax benefits including:

• Income tax relief

• Tax-free dividends (VCTs)

• Capital gains tax advantages

However, these investments are higher risk and not suitable for everyone, so professional advice is important.

9. Review Charitable Donations

If you make charitable donations through Gift Aid, higher and additional rate taxpayers may be able to claim additional tax relief.

Donations made before 5 April may also be eligible to be carried back to the previous tax year in certain circumstances.

10. Take a Step Back and Review Your Financial Plan

Finally, the end of the tax year is a useful moment to review your wider financial plan.

You might ask yourself:

• Are my investments aligned with my long-term goals?

• Am I saving enough for retirement?

• Is my portfolio structured in a tax-efficient way?

A short annual review can help ensure your finances remain on track.

Final Thoughts

Tax planning isn’t about complicated strategies — it’s often simply about making sure you’re using the allowances already available to you.

Taking a little time before the 5 April deadline can help ensure your finances remain structured as efficiently as possible.

If you’d like help reviewing your position before the end of the tax year, professional advice can help ensure nothing is overlooked.