The UK tax year runs from 6 April to 5 April. Many tax allowances and exemptions operate on a use-it-or-lose-it basis, so the weeks before 5 April are your last chance to make the most of them. Here is a practical checklist.
1. Use Your ISA Allowance
You can put up to £20,000 into ISAs this tax year. If you have not used it, even a last-minute contribution into a Cash ISA preserves your tax-free entitlement for future years. Once 6 April passes, this year’s allowance is gone forever.
2. Maximise Pension Contributions
Check whether you have used your full £60,000 pension annual allowance (or your earnings, if lower). Remember you can also carry forward unused allowance from the previous three tax years. A last-minute contribution before 5 April still qualifies for this year’s tax relief.
3. Use Your Capital Gains Tax Allowance
The annual CGT exempt amount is £3,000. If you have investments outside ISAs and pensions with gains, consider selling enough to use this allowance (known as “bed and ISA” if you immediately rebuy within an ISA, or “bed and spouse” if your partner rebuys). You cannot carry forward unused CGT allowance.
4. Harvest Capital Losses
If you have investments sitting at a loss, consider selling them to crystallise the loss. Capital losses can be offset against gains in the same tax year or carried forward to future years.
5. Make Use of Gift Allowances
Your annual £3,000 gift exemption resets on 6 April. You can carry forward one year of unused exemption, but only for one year. Small gifts of up to £250 per person are also exempt.
6. Check Marriage Allowance
If one partner earns below £12,570 and the other is a basic rate taxpayer, Marriage Allowance saves up to £252 per year. You can backdate claims for up to four years. Apply through GOV.UK.
7. Top Up Your Lifetime ISA
If you have a LISA, make sure you contribute the maximum £4,000 before 5 April to receive the full £1,000 government bonus.
8. Use Your Child’s Junior ISA Allowance
The Junior ISA allowance is £9,000 per year per child. Contributions from parents, grandparents, and others all count towards this limit.
9. Review Your Pension Salary Sacrifice
If your employer offers salary sacrifice for pension contributions, check whether you could increase it before the year ends. Salary sacrifice saves both income tax and National Insurance.
10. Check Your National Insurance Record
Log in to the government’s “Check your State Pension” service and review your NI record for any gaps. If you have gaps that could be filled with voluntary contributions, the current tax year is the cheapest to fill (it gets more expensive to fill older years).
Important: This article is for general educational purposes only and does not constitute financial advice. Tax rules can change and individual circumstances vary. If you need advice tailored to your situation, please consult a qualified, FCA-regulated financial adviser. You can browse advisers in our adviser directory.