HMRC Deadline Tracker

For the 2026/27 tax year, the dividend allowance is reduced to £500, with tax rates of 10.75% for basic rate, 35.75% for higher rate, and 39.35% for additional rate taxpayers. These rates apply to dividend income exceeding the £500 threshold, as confirmed by HMRC guidance for the 2026/27 period. This change significantly impacts company directors extracting profits via dividends compared to previous years.

From April 2026, businesses must register for VAT if their taxable turnover exceeds £90,000 in any rolling 12-month period. This threshold increase means many SMEs will have more time before becoming VAT-registered, but you must still monitor your turnover continuously. Failure to register within 30 days of crossing the limit can result in penalties and interest charges under HMRC rules.

Employers must pay 15% National Insurance on earnings above £5,000 per employee for the 2026/27 tax year. This rate applies to most employees, with no secondary threshold reduction below the £5,000 mark for this period. Accurate payroll calculations are essential to avoid underpayment penalties as HMRC enforces these rates strictly.

Making Tax Digital for Income Tax Self Assessment (MTD ITSA) becomes mandatory for self-employed individuals and landlords with annual turnover above £50,000 starting from 6 April 2026. This requires keeping digital records and submitting quarterly updates using compatible software. HMRC has confirmed this timeline, so businesses must prepare their accounting systems before the deadline.

The s455 tax rate for director's loans is 35.75% for the 2026/27 tax year if the loan is not repaid within nine months of the accounting period end. This tax is repayable to HMRC once the loan is cleared, but it creates a cash flow cost for the company. Directors must ensure loans are managed carefully to avoid triggering this additional tax liability.