What to do before 5th April – self employed guide

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To get ready for the new UK tax year, self-employed workers need to buy any needed business equipment or supplies now to lower this year’s tax bill, top up a pension to reduce taxable income, and—crucially for this year—set up digital accounting software if you earn over £50,000, as the new ‘Making Tax Digital’ rules become law on the 6th of April 2026.

Here is your straightforward, jargon-free guide on exactly how to sort your business finances before the tax year ends on the 5th of April.

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The Self-Employed End-of-Tax-Year Checklist (2025/2026)

When you work for yourself, the 5th of April isn’t just a date on the calendar; it is a hard deadline to claim tax reliefs and organize your money. Because you don’t have an employer sorting your taxes out for you, keeping on top of these deadlines is the best way to keep more of your hard-earned profits.

Here are the five most important things you should do right now:

1. Buy What Your Business Needs Now

If you are planning to upgrade your work laptop, buy new tools, or stock up on office supplies soon, do it before the 5th of April.

• Why it helps: Things you buy exclusively for your work are called “allowable business expenses.” When you claim these, they are deducted from your total profit.
• The result: Lower profit means you pay less Income Tax and less National Insurance when it comes time to pay your tax bill. If you wait until the 6th of April to buy that new laptop, you won’t get the tax benefit for another whole year!

2. Get Ready for ‘Making Tax Digital’ (MTD)

This is the biggest change to self-employed taxes in years, and the first phase officially starts on the 6th of April 2026.

• The Rule: If your total self-employed income (or combined self-employed and property rental income) is over £50,000 a year, you are legally required to switch to Making Tax Digital this April.
• What you must do: You can no longer just send HMRC a single tax return once a year. You must use HMRC-approved accounting software to keep digital records and send them quarterly updates. If you haven’t set up accounting software yet, you need to do it before the new tax year begins. (Note: The threshold drops to £30,000 in April 2027).+1

3. Top Up Your Pension

Paying into a personal pension (like a SIPP) is one of the ultimate tax hacks for the self-employed.

• How it works: When you put your surplus profits into a pension, the government automatically adds a 25% tax top-up. So, if you put in £800, it magically becomes £,1000.
• The Bonus: Pension contributions also lower your overall taxable income. If you have had a bumper year and are nudging into the higher 40% tax bracket, putting money into your pension can actually bring your taxable income back down to the basic 20% rate.

4. Sort Your Paperwork and Chase Invoices

Don’t leave your bookkeeping until January next year when your tax return is due.

• Take an hour this week to gather all your receipts, log your work mileage, and make sure your bank statements match your records.
• If you have customers who owe you money, chase those unpaid invoices now so you know exactly how much profit you have actually made this year.

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Don’t Wait Until April 4th

Banking systems can take a few days to process pension payments or software subscriptions. If a payment leaves your bank account on the 6th of April, it counts for the next tax year, and you will miss out on this year’s benefits.

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