Now the dust has settled on the Autumn Budget 2026, what should business owners actually be doing?
At Evans Entwistle, we've taken time to analyse the announcements and, importantly, identify practical steps our clients can take to minimise their tax liabilities.
Here are five key areas worth reviewing.
1. Review Your Salary and Dividends
With dividend tax rates having increased in April 2026, the way limited company directors extract profits deserves another look.
A carefully calculated combination of salary, dividends and pension contributions could reduce your overall tax burden. Simply repeating last year's approach may mean paying more tax than necessary.
2. Make the Most of Pension Contributions
Employer pension contributions can reduce a company's taxable profits while building retirement savings.
Potential Corporation Tax Savings
For example, a qualifying £10,000 employer pension contribution could save up to £2,500 in Corporation Tax, depending on the company's tax rate and circumstances.
However, contribution limits and eligibility need careful consideration.
3. Plan Equipment Purchases Carefully
The Budget announced changes to capital allowances from 2027.
Businesses investing in qualifying equipment may be able to claim 100% tax relief through the Annual Investment Allowance, subject to the rules.
If you're planning significant purchases, reviewing the timing and available reliefs before committing could improve your tax position.
4. Review Your Business Exit Strategy
From April 2027, the lifetime limit for Business Asset Disposal Relief is set to halve from £1 million to £500,000.
If you're considering selling your business, reviewing your plans now could potentially save thousands in Capital Gains Tax.
5. Don't Overlook Everyday Tax Savings
Are you claiming all allowable business expenses? Could employing family members genuinely working in the business be beneficial? Are you making full use of available allowances?
These opportunities can add up, but they must be structured correctly.
Five Tax Planning Areas to Review
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Review your salary, dividends and profit extraction strategy.
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Consider tax-efficient employer pension contributions.
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Plan equipment purchases around available capital allowances.
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Review your business exit plans and potential Capital Gains Tax.
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Make sure you're claiming all eligible business expenses and allowances.
The Key Is Acting Before It's Too Late
Tax planning is most effective before decisions are made, not after the year-end.
At Evans Entwistle, we don't believe in one-size-fits-all advice. We've been examining how the Budget affects different businesses and identifying opportunities specific to our clients.
If you want to make sure you're not paying more tax than necessary, contact Evans Entwistle for a proactive tax-planning review.
Could You Be Paying Less Tax?
A conversation now could make a significant difference to your next tax bill. Our team can help you identify opportunities, plan ahead and make informed decisions about your business finances.
Contact Evans Entwistle