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There has been much discussion and debate with regard to basis period reform, in particular for those in seasonal industries who deliberately have non-coterminous year ends and for whom the changes will affect their tax position the most. Basis period reform, which changes the taxation of profits to a tax year basis, takes effect from the 2024/25 tax year with the 2023/24 tax year being a transition year, more details can be found in B8.101–B8.101B.

On transition to the tax year basis in 2023/24, all unincorporated businesses' basis periods are aligned to the tax year. Therefore, in this transition year some businesses experience double taxation because they will be taxed not only on 12 months' worth of profits from the end of the basis period for 2022/23, but there is also an amount of transition profit subject to tax based on the period from the end of those 12 months to 5 April 2024. For example, in the transition year, the basis period for a business with a 30 June year end is determined by adding together