How to maximise your tax efficiency before tax year end 5 April 2025

Claim all of your allowable expenses

Ensure paid invoices have been recorded – chase those you’re still awaiting payment for

Keep receipts 6 years after accounting period

Use your ISA allowance

£20,000 taxed at 0% per year

£9,000 for junior ISAs (JISAs)

If you have a spouse / partner be sure to utilise their £20,000 allowance

Make contributions through your Limited Company for greater tax efficiency

You can pay up to £60,000 taxed at 0% into your pension per year from your Limited Company

Carry forward any unused allowance for the past three years

Utilise your partner / spouse’s allowance

Any contributions must be made before your company’s financial year end to qualify for deduction

On the basis you take a salary of £12,570

£500 dividend allowance taxed at 0%

The remaining £37,200 is then taxed at a rate of 8.75%

Use your allowance of £3,000 per year NOT per person

You can give gifts or money up to £3,000 to one person or split the £3,000 between multiple people

Carry forward any unused annual exemption into the next tax year for one year only

Avoid losing your personal allowance if your income exceeds £100,000 by making personal pension contributions

Utilise your annual capital gains exemption of £3,000

Apply for the marriage allowance if you or your spouse are not using your full personal allowance

It you’re looking to invest, consider EIS, SEIS or VCT’s as tax reducers