If you run a Limited Company in Crawley, many of you will have a financial year that ends on 31st March.

Why? Because aligning your company year with the tax year (give or take a few days) makes life simpler. But it also means that as we sit here in February 2026, the clock is ticking.

You have roughly six weeks to make decisions that could affect your Corporation Tax bill. Once the year-end passes, the opportunity to bring forward major purchases or declare further dividends for this financial year is gone.

And this year, the stakes could be higher. With Dividend Tax rates expected to increase from April 2026 based on recent proposals, the decisions you make in the next few weeks could have a real impact on your wallet.

Here is your essential 5-point checklist to tidy up your books, be tax-efficient, and stop the "year-end panic" before it starts.

1. The Dividend Dash (Crucial for 2026)

The Deadline: 5th April (Personal Tax) / 31st March (Company Accounts)

This is the big one. Based on current government proposals, Dividend Tax rates are expected to rise from April 2026.

If your company has made a healthy profit this year, you may have a closing window of opportunity to be tax-efficient.

• The Strategy: Speak to us about whether it makes sense to declare a dividend before the new tax year begins.
• Why: If rates do rise as expected, extracting profits now at current rates could generate a saving compared to waiting until May.
• The Caveat: Tax rates can change, and you must have sufficient "distributable reserves" (profit after tax) to do this legally.
• Important Distinction: Remember that your Company Year-End (often 31 March) is different from the Personal Tax Year (ending 5 April). Timing is key here!

2. Timing Your Big Ticket Purchases

The Deadline: 31st March (Your Company Year-End)

Thinking of upgrading your equipment? Replacing the office laptops? Buying a new electric van for your Manor Royal logistics firm?

Consider doing it now.

Corporation Tax relief is generally based on the date of purchase.

• Buy on March 30th: The expense falls into this financial year, potentially reducing your current tax bill (which is due sooner).
• Buy on April 1st: The relief is delayed by a whole year.

2026 Context: With potential changes to capital allowances on the horizon, bringing forward qualifying purchases into this year could be beneficial. However, rules do change, so please take advice before committing to large expenditures.

3. The Great Receipt Sweep

The Deadline: As soon as possible!

HMRC rules are strict on record-keeping. You may not be able to claim Corporation Tax relief on expenses you can't adequately support with records, especially if HMRC were to review your accounts.

If your Xero or QuickBooks dashboard has 50 unreconciled transactions labeled "Amazon" or "Tesco," you need to fix them.

• The Action: Log in to your supplier accounts, download the invoices, and attach them to the transactions.
• The Risk: If you can't support the expense with a receipt, we may have to disallow it. That’s profit you’ll pay tax on unnecessarily.

4. Clear Your Director’s Loan Account

The Deadline: 31st March

Have you dipped into the company account for personal costs? Maybe you paid for a holiday or transferred some cash without labeling it as salary or dividend.

This creates an Overdrawn Director’s Loan Account.

If this isn't cleared (repaid) within 9 months of your year-end, your company may face an additional Corporation Tax charge (known as S455 tax).

• The Cost: The rate is linked to the dividend upper rate (currently 33.75%, though this can change). It’s an expensive way to borrow money from your own company.
• The Action: Check your balance. If you owe the company money, look at declaring a dividend (if you have profits) or repaying the loan before year-end to avoid the charge.

5. The Physical Stock Take

The Deadline: 31st March (or the closest working day)

If you hold stock—whether you sell parts in Three Bridges or beauty products in Horsham—you need to count it.

Your "Closing Stock" figure directly affects your profit calculation.

• Overvaluing stock means you pay tax on profit you haven't made yet.
• Undervaluing stock understates your profits and may attract HMRC attention if margins don't make sense over time.

The Action: Plan a specific day for a stock take. Write it down. Sign it. This is your evidence that your figures are accurate.

Don't Leave It Until March 31st

The difference between a "good" year-end and a "stressful" one is planning.

If you wait until the last week of March, you might find you don't have the cash flow to clear your Director's Loan, or you miss the chance to utilize your 2025/26 allowances effectively.

We are currently booking "Pre-Year-End Reviews" for local Directors. We will look at your numbers before the deadline and provide a plain English plan to ensure you are as tax-efficient as possible.

Book Your Year-End Review with Curve