Tax Planning
Tax Planning Strategies for Entrepreneurs in the Wake of Post-Budget Reform
With recent tax changes targeting CGT rates, non-dom status, and employer NICs thresholds, entrepreneurs need smart planning to protect wealth and leverage current reliefs.
By NomadicTax Research Team • 5-8 min read • November 24, 2025
## Key Tax Changes Entrepreneurs Must Know
- **Capital Gains Tax (CGT) rate increases**: As of **30 October 2024**, taxpayer thresholds have shifted—lower/higher-rate CGT now at **18%/24%** respectively for disposals falling within those bands. Business Asset Disposal Relief (BADR) will gradually increase from 10% to **14% on 6 April 2025**, then to **18% from April 2026**. ([gov.uk](https://www.gov.uk/government/publications/autumn-budget-2024-overview-of-tax-legislation-and-rates-ootlar/841ddc37-58e0-4d3f-9b53-123e8903d274?utm_source=openai))
- **Non-dom reforms**: Entrepreneurs who are foreign nationals or non-UK resident are no longer able to use remittance-basis; the FIG regime means foreign income/gains will be taxed under new rules after 4 years of residence. ([gov.uk](https://www.gov.uk/government/publications/tax-changes-for-non-uk-domiciled-individuals/reforming-the-taxation-of-non-uk-domiciled-individuals?utm_source=openai))
- **Employer NIC changes**: Secondary Threshold for employer NIC will be reduced, and employer NIC rate increased by 1.2 points from 6 April 2025. Smaller employers benefit via Employment Allowance rising. ([gov.uk](https://www.gov.uk/government/news/chancellor-chooses-a-budget-to-rebuild-britain?utm_source=openai))
## Strategic Planning Moves
- **Time asset disposals** wisely. If you hold assets likely to produce significant gains, consider disposing before rate increases if possible, or understand whether you’ll fall into higher rate bands.
- **Evaluate foreign income/gain positioning**. If you're considering relocating or becoming UK resident, take into account the 10-year non-residence look-back to qualify for FIG. Pre-planning around asset holding locations and timing can reduce exposure.
- **Structure business expansion** with business rates reliefs. Reliefs for retail, hospitality & leisure properties with rateable value < £500,000 are being made permanently lower. Entrepreneurs opening second premises should watch out for ‘cliff-edges’ in business rates. ([gov.uk](https://www.gov.uk/government/news/chancellor-commits-to-explore-pro-growth-tax-reforms-to-support-small-businesses-opening-new-premises?utm_source=openai))
## Example Scenario
James runs a tech startup and holds shares in another business which he plans to sell. If he sells after April 2025, under current CGT rules, as a higher rate taxpayer he’d pay 24%. If he sells before that date, he might benefit from the older lower rates or available reliefs. Also, if he utilises the non-dom reliefs and meets the FIG regime criteria, some of his foreign income might be sheltered during his first four years.
## Compliance & Tax Efficiency Tips
- Keep detailed records of residence days and foreign income/gains, to prove qualification for FIG regime.
- Engage with accountants about estimating CGT earlier: momentum matters.
- For entrepreneurs employing people, watch NIC changes, especially if paying minimum wage roles. Be ready for payroll adjustments.
- Use Business Asset Disposal Relief appropriately, and plan business succession or exit strategies considering IHT reforms.
By combining awareness of recent reforms—on CGT, non-dom, NICs—with smart timing and structuring, entrepreneurs can preserve wealth and reduce unexpected tax bills.