PUBLICATION DATE: DECEMBER 2025
PAGES: 159
EDITION: 2nd
ISBN: 9781917392075
READ CONTENTS & FIRST SECTION

The Big Budget Tax Changes

What the November Budget Means to You!

by Carl Bayley & Nick Braun

Some major tax changes were announced in the November 2025 Budget. These affect almost everyone including:

• Company owners
• Self-employed business owners
• Property investors and landlords
• Salary earners
• Pension savers and ISA savers
• Anyone interested in inheritance tax

There have also been other important tax changes announced this year and in recent times.

This brand new guide explains them all in plain English with lots of easy to follow examples.

And as always with Taxcafe guides, the focus is on saving tax – the guide contains a huge amount of unique tax planning information that cannot be found elsewhere.

What Information is Contained in the Guide?

The Income Tax Freeze
Income tax thresholds will remain frozen for another five years until 5th April 2031. This could increase your overall income tax rate by an astonishing 7%. Find out how to beat the freeze and enjoy tax relief at 60% instead of 40% or 40% instead of 20% by either postponing or accelerating certain types of spending (pension contributions, business investment spending etc).

Inheritance Tax
We guide you through the latest proposals for charging inheritance tax on pensions. The November Budget also eased the pain a little for business owners and farmers.

The Government also extended the freeze in the £325,000 nil rate band. The cost to some families of the 22-year freeze will be phenomenal, making IHT planning more important than ever.

New Tax Rates for Landlords and Savers
The tax rates payable on rental income and interest income are increasing and we look at the impact of these increases. For landlords we explain the impact on mortgage tax relief.

How to Beat the Dividend Tax Increase
Most dividend tax rates will increase from 6th April 2026. Find out how much extra dividend income you should pay yourself this year, before the new rates kick in.

Plus the benefits of taking bigger dividends next year and over the next few years - with tax thresholds frozen, this could protect you from the massive increase in dividend tax rates when your income rises above £50,270, £60,000 and £100,000.

Salary versus Dividends 2026/27
The increase in dividend tax rates (plus other recent changes to national insurance and other taxes) have altered the salary versus dividend decision. Find out how much salary income company owners should pay themselves next year (a bigger salary may be more tax efficient).

Using a Company to Save Tax
The increase in dividend tax rates is just the latest of many recent changes affecting the decision to set up a company. This chapter contains useful tables showing the exact amount of tax you could save or end up paying.

We also explain how the process of transferring a business into a company is changing after the Budget.

Salary Sacrifice Pensions
The Government is placing a cap on full tax relief for both income tax AND national insurance on salary sacrifice pensions. We explain the changes and how to make the most of this powerful tax saving benefit before the change kicks in. There’s better news for regular employer pension contributions and small company owners.

Cash ISAs
The amount that can be invested in cash ISAs is being cut from 6th April 2027. Tax will become payable on cash and "cash-like" investments in stocks and shares ISAs. Find out what you can do before the change and how to beat the five-year freeze to the £20,000 ISA allowance.

Venture Capital Trusts
Income tax relief is being reduced from 30% to 20% on 6th April 2026 so you only have a few months to take advantage of the higher rate of tax relief.

Employee Ownership Trusts
Company owners can sell their businesses to an employee ownership trust (EOT) and enjoy capital gains tax relief: previously 100% but now 50%. An EOT may still provide significantly greater CGT savings than a regular business sale that enjoys Business Asset Disposal Relief.

All the Other Changes
The guide also covers a wide range of other issues including:

• The latest on corporation tax
• Tax planning for the winter fuel charge
• Capital allowances (including an extension for electric cars)
• The new Mansion Tax
• Tax changes that did not happen
• Tax changes announced before the Budget

Click here to read the full contents listing and first section of the book

PLEASE NOTE: Printed copies of this new guide will be posted early January. You will still receive a PDF copy immediately.