14. March 2026

End of Year Tax Planning 4 of 6

## End of Tax Year Planning (4 of 6): Make Use of Your Dividend Allowance

With the tax year ending on 5 April, company directors and shareholders should review whether they have fully used their **Dividend Allowance**.

For the 2025/26 tax year, individuals can receive up to **£500 in dividends tax-free**. If you operate through a limited company, declaring dividends before the tax year end may help reduce your overall tax liability.

Dividend planning should always be considered alongside your total income to ensure you remain within the most tax-efficient tax bands.

Reviewing your dividend strategy before 5 April can help ensure you are not missing available tax-saving opportunities.

*This is the fourth in our six-part End of Tax Year Planning series for individuals and businesses.*