UK Director Self Assessment 2026/27 — Close Company Reporting

Company directors completing a UK Self Assessment return need to treat the employment pages as more than a salary summary. For the 2025/26 tax year, HMRC’s updated guidance asks relevant taxpayers to report additional information about directorships, close companies and dividends from close companies in the 2026/27 filing cycle.

This is an information-reporting requirement. It does not, by itself, create a new dividend tax rate or change the underlying tax treatment of a salary, dividend, benefit or director’s loan. The purpose is to give HMRC better information through the return and to make the directorship and close-company relationship explicit.

Which tax return does this affect?

The current HMRC material concerns the 2025/26 tax year, which runs from 6 April 2025 to 5 April 2026 and is filed in the 2026/27 Self Assessment cycle. A director completing a later return should use the forms and notes for that later tax year rather than copying this page unchanged.

The additional questions can matter even where the director received no salary or dividend. HMRC’s Agent Update says that a relevant director should generally report each directorship, including a dormant company directorship where the return rules require the information. The answer depends on the person’s status during the tax year and the current return instructions, not only on whether money was paid.

What information is usually needed?

Before starting the return, gather the information for each company or employment page:

Keep the company registration number, dividend vouchers, board minutes, dividend schedules, share register, payroll records and P45/P60 information together. A bank statement can show that money moved, but it may not prove whether the payment was salary, dividend, loan repayment or another transaction.

What does “close company” mean here?

The return uses the tax concept of a close company. The fact that a business is small, family-owned or described as an owner-managed company is not a substitute for checking the statutory and HMRC definition. The company’s control, participators and relevant arrangements may matter.

If the company is close, do not leave the close-company fields blank simply because the dividend was small or because the company paid no dividend in the year. Conversely, do not label every private company as close without checking the relevant facts. When the classification is uncertain, record the basis used and obtain professional advice.

How are dividends reported?

Dividends from a close company should be identified separately where the return asks for them. The reporting field is not a second tax charge: the dividend still belongs in the relevant dividend-income computation, and the rate and allowance depend on the taxpayer’s overall income and the rules for the year.

The purpose of the close-company question is to give HMRC information about the relationship between the director, the company and the dividend. Do not use the close-company field to report a director’s loan, salary, benefit or reimbursement as if it were a dividend. Classify the payment from the company records first.

For broader dividend-rate and allowance context, use the existing UK dividend allowance guide. That guide explains the tax calculation; this page focuses on the return information and SA102 workflow.

What if there are several directorships?

The return should identify each relevant employment or directorship using the available employment pages or online sections. Do not combine several companies into one entry merely because the same person owns or controls them.

For each company, check whether the taxpayer was a director during the year, whether the directorship ended before 6 April 2026, whether the company was close, and whether close-company dividends were received. The highest shareholding percentage and the dividend amount should be tied to the correct company rather than reported as one group total.

Common mistakes to avoid

• Reporting only the company that paid the largest dividend and forgetting another directorship.
• Treating a dormant company as automatically irrelevant without checking the current HMRC return instructions.
• Entering the company’s trading name when the return asks for the legal name or registration number.
• Reporting total dividends without separating dividends from a close company where the return requires that detail.
• Treating a director’s loan or benefit as a dividend because the payment came from the company bank account.
• Assuming that the reporting questions change the underlying dividend tax calculation.
• Copying last year’s SA102 answers without checking the 2026 form and notes.

The safest workflow is to complete the information fields from the company records first, then complete the tax computation from the classified income. If the records do not explain a payment, resolve that classification before submitting the return.

Frequently Asked Questions

Evidence and decision checks

A reliable uk self assessment director close company reporting 2026 27 review starts by fixing the tax year and the date on which the relevant event happened. Record the person's or business's status, the income or transaction category, the amount before tax, tax already withheld, and any election or claim being relied on. Do not combine a headline figure with a final liability: the result can change when another income source, a payment date, an ownership interest or a qualifying condition is added.

Keep the source documents behind every important input. Depending on the subject, that may include payslips, invoices, bank statements, contracts, provider statements, travel records, HMRC notices, payroll submissions, valuations or correspondence. Where an amount is apportioned, write down the method and retain the underlying total. If a correction is made, preserve the original figure and explain the reason, date and evidence for the replacement.

Before relying on the result, check the current official guidance for the same tax year and jurisdiction. Distinguish enacted law from a consultation, draft measure, announcement or future proposal, and record the effective date. Reconcile the final estimate to the relevant return, payroll record or HMRC account. A calculator or explanatory guide can support a decision, but it cannot replace the eligibility test or the official filing and payment process.

Evidence and decision checks

A reliable uk self assessment director close company reporting 2026 27 review starts by fixing the tax year and the date on which the relevant event happened. Record the person's or business's status, the income or transaction category, the amount before tax, tax already withheld, and any election or claim being relied on. Do not combine a headline figure with a final liability: the result can change when another income source, a payment date, an ownership interest or a qualifying condition is added.

Keep the source documents behind every important input. Depending on the subject, that may include payslips, invoices, bank statements, contracts, provider statements, travel records, HMRC notices, payroll submissions, valuations or correspondence. Where an amount is apportioned, write down the method and retain the underlying total. If a correction is made, preserve the original figure and explain the reason, date and evidence for the replacement.

Before relying on the result, check the current official guidance for the same tax year and jurisdiction. Distinguish enacted law from a consultation, draft measure, announcement or future proposal, and record the effective date. Reconcile the final estimate to the relevant return, payroll record or HMRC account. A calculator or explanatory guide can support a decision, but it cannot replace the eligibility test or the official filing and payment process.

Evidence and decision checks

A reliable uk self assessment director close company reporting 2026 27 review starts by fixing the tax year and the date on which the relevant event happened. Record the person's or business's status, the income or transaction category, the amount before tax, tax already withheld, and any election or claim being relied on. Do not combine a headline figure with a final liability: the result can change when another income source, a payment date, an ownership interest or a qualifying condition is added.

Keep the source documents behind every important input. Depending on the subject, that may include payslips, invoices, bank statements, contracts, provider statements, travel records, HMRC notices, payroll submissions, valuations or correspondence. Where an amount is apportioned, write down the method and retain the underlying total. If a correction is made, preserve the original figure and explain the reason, date and evidence for the replacement.

Before relying on the result, check the current official guidance for the same tax year and jurisdiction. Distinguish enacted law from a consultation, draft measure, announcement or future proposal, and record the effective date. Reconcile the final estimate to the relevant return, payroll record or HMRC account. A calculator or explanatory guide can support a decision, but it cannot replace the eligibility test or the official filing and payment process.

This guide reflects HMRC’s 2026 SA102, SA102 notes and Agent Update 147 checked on 20 September 2026. Use the latest form and online guidance for the relevant tax year, and obtain specialist advice where the company status, payment classification or directorship history is unclear.

Official sources

• HMRC — Agent Update 147
• HMRC — Complete your Self Assessment tax return for the last tax year
• HMRC — Self Assessment: Employment (SA102) 2026
• HMRC — Employment notes (SA102 Notes) 2026
• GOV.UK — Income Tax additional information regulations