Pathway Accountancy Ltd

1. The "Making Tax Digital" trap

As of April 2026, if you’re earning over £50k, the "once-a-year" tax return is dead. Quarterly submissions to HMRC are now mandatory. If your systems aren't digital yet, you're already behind.

2. Leaving £10,500 on the table
National Insurance rates are up and thresholds have dropped—but the Employment Allowance just increased to £10,500. Most small businesses are eligible but simply haven't claimed it. Is your accountant checking this monthly?

3. Missing the 18% CGT window
Capital Gains Tax on business assets has officially climbed to 18%. If you’ve been waiting to sell or exit your business, the "cheap" window is gone. Strategic planning is now the only way to protect your profit.

4. Reactive vs. Proactive planning
Most business owners hire an historian, not a strategist. If your accountant only tells you what you owe after the year ends, they aren't saving you money—they’re just reporting the loss.

5. Outdated Salary & Dividend splits
The strategy that worked in 2024 is costing you thousands in 2026. With the dividend allowance at a record low (£500), your "take-home" structure needs a total reset to stop personal tax overpayments.

Don’t let 2026 be the year you overpay. Save this post to review with your team.

Share this with a founder who’s still filing once a year.

WANT THE BLUEPRINT? We’ve put all these 2026 updates into a Free Guide.

Would you be interested in getting one? Comment below and we will send it across to you.

Welcome to the month of April.

Let’s start the month right by clearing up a common misconception about your earnings and how much tax you should actually be paying.

A lot of business owners are either overpaying, underpaying, or simply unsure and that uncertainty can cost you.

Drop your questions in the comments and let’s continue to break them down for you.

And if you found this helpful, a simple “thank you” in the comments goes a long way as it lets us know to keep sharing insights like this.

Welcome to the month of April.

Let’s start the month right by clearing up a common misconception about your earnings and how much tax you should actually be paying.

A lot of business owners are either overpaying, underpaying, or simply unsure and that uncertainty can cost you.

Drop your questions in the comments and let’s continue to break them down for you.

And if you found this helpful, a simple “thank you” in the comments goes a long wayit lets us know to keep sharing insights like this.

Dear UK residents,

March is almost over, and a lot of people are still confused about what Making Tax Digital (MTD) really means and how it affects them. If you’re self-employed, a landlord, or running a small business in the UK, this is something you cannot afford to ignore.

We have noticed that many people have heard about MTD for income tax, MTD for VAT, or HMRC digital tax rules, but they’re still unsure what to do, when to act, or what is actually required. And honestly, that confusion is valid. The information out there can feel scattered and overwhelming.

But here’s the truth ,MTD is becoming mandatory, and understanding it now will help you avoid penalties, missed deadlines, and unnecessary stress with HMRC.

So instead of guessing or postponing it, take a few minutes to understand exactly how Making Tax Digital works, who it applies to, and what steps you need to take as a UK resident.

Watch me break it down in a way that’s simple, practical, and easy to follow.

SelfEmployedUK UKEntrepreneurs TaxCompliance SmallBusinessUK UKLandlords DigitalTax BusinessUK UKFinance TaxTipsUK UKResidents

Most people running a small business in the UK are just following the standard VAT rules… not because it’s best for them, but because it’s what everyone defaults to.

But there’s another option a lot of people overlook the HMRC Flat Rate Scheme.

In this video, we break it down in a simple, practical way so you can actually understand how it works and whether it could make things easier (and more cost-effective) for your business.

If you’re a contractor or small business owner, this is something you at least want to be aware of and it helps you save even more

Watch the full video and see if it’s a better fit for you and send us a message to put you through this process.

ContractorLife EntrepreneurUK

Many business owners still have a drawer or box filled with receipts somewhere.

The place where receipts sit quietly until tax season arrives.

But with Making Tax Digital approaching, the way businesses keep records is about to change.

For self-employed individuals earning over £50,000, HMRC will require business records to be kept digitally and updated regularly through accounting software.

If you do not currently use accounting software and only think about tax when deadlines arrive, this change may affect you.

Dear Business Owners,do you or your team members still keep your accounting like this ?

SmallBusinessUK