Major changes are on the way that might impact both your income and your business. From Making Tax Digital (MTD), relief reforms and employment law changes – the way you run and reward your business is set to change.
Our experts have pulled together what you need to know, what to plan for, and the practical steps you can take now so you’re prepared, in control, and ready well before 6 April 2026.
We’ve broken down each of these upcoming changes into dedicated blog updates below
Get Ready for MTD Changes
MTD for Income Tax is coming into effect from 6 April 2026 and will change how many business owners and landlords record and report income to HMRC.
Your usual AAB advisor is here to explain what’s changing, how it affects you, and what you should be doing now. That could mean moving to compatible software or preparing for more frequent submissions.
Our blog below sets it out clearly, with simple steps to help you prepare early and stay in control. If you’re unsure what you should be doing now, get in touch today.
Read our blog on Making Tax Digital - Making Tax Digital (MTD): 7 steps to help you prepare
Planning for Employment Rights Act 2025 Changes
The Employment Rights Act 2025 sets a clearer, firmer direction for UK employment law, with greater emphasis on fair pay, secure work and modern employment practices.
As the phased rollout begins, early planning can make a real difference. Our employment law specialists outline what this means for employers and employees in their blog below. And if you’d like tailored advice, remember your advisor is on hand to help you plan for changes like these with confidence.
Read our blog on 5 ways employers can prepare now for these changes -
Employment Rights Act: 5 ways employers can prepare now
Understanding Relief Changes & Their Impact
Significant changes to Agricultural and Business Property Relief are coming in 2026, which could affect how businesses manage tax liabilities and plan for the future.
Our team break down what’s changing, why it matters, and the practical steps you can take now to protect your business and make the most of available reliefs. Speak to your usual AAB advisor to see how these updates could impact your business and what actions are relevant for you,
2026 Changes to Agricultural & Business Property Relief: 5 Steps to Protect your Assets
What the EMI Share Scheme Changes Mean for Your Business
The Enterprise Management Incentive (EMI) scheme is expanding, opening the door for more growing businesses to offer tax-advantaged share options. Higher eligibility thresholds and a longer exercise window mean greater flexibility and opportunity.
If you already have an EMI scheme, now is the time to review it. The changes could strengthen how you retain and reward key people. If you don’t, this may be the right moment to consider how EMI could support your growth plans.
Our blog below offers clear, practical guidance. If you think these updates may affect you, speak to your advisor to review your position ahead of 6 April 2026.
Read our blog on changes to the EMI Share Scheme - The EMI share scheme: 4 key benefits employers need to know
Changes to Dividend Tax Rates and National Insurance
Current dividend tax rates are set to increase from 6th April 2026.
The tax-free dividend allowance remains frozen at £500.
Additionally, the increases to NI were effective from 6 April 2025 and are as follows:
- Employer NI will increase to 15% (from 13.8%)
- Secondary threshold reduced to £5,000 – this increases the portion of earnings subject to NI
- NI thresholds and income tax bands remain frozen until 5 April 2031
Whilst dividends do not attract the employees and employer NI that applies to salaries, the frozen income tax rates and NI thresholds push more earnings (including dividends) into higher tax brackets
Early tax planning ahead of the changes is crucial to ensure optimal tax efficiency. We would advise you to review your current remuneration strategy and, if you would like to take additional dividends before the dividend rates increase, or revisit your current remuneration plan, get in touch now.
Keeping Up With FRS 102
Important changes to FRS 102 came into effect on 1 January 2026 and apply for periods starting on or after this date. These updates might already be impacting lease accounting, revenue recognition, and key financial metrics, so ensuring your reporting remains fully compliant in the ever-changing landscape we find ourselves in is essential.
We thought this would be a good opportunity to remind you of the FRS102 changes and the impact. Our team shares some practical steps you can take now if you haven’t already done so. And remember, your advisor is here to help ensure you are compliant with the latest changes.
Read our blog on 6 ways these changes may impact your business - FRS 102 Changes: 6 Ways They Might Impact Your Business
How we can help.
If you’re looking to make sense of these changes, our specialists are here to help.
At AAB, we’re passionate about helping businesses and individuals succeed.
As a top 25 professional services firm, we bring the right specialists together to solve complex business challenges for organisations of all sizes – from start-ups and family businesses to ambitious, growing multinationals.
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