Estimate UK dividend tax for 2026/27 using other income, dividends, the Personal Allowance taper and the £500 Dividend Allowance.
This estimate calculates tax on dividends only. It does not calculate Income Tax or National Insurance on other income.
How to use the Dividend Tax Calculator
Enter taxable income from sources other than dividends, then enter dividends received outside tax-free accounts. The calculator applies the 2026/27 Personal Allowance rules, uses dividends as the top slice of income and allocates them across the dividend tax bands.
UK dividend tax rates for 2026/27
| Band | Dividend rate |
|---|---|
| Dividend Allowance | £500 at 0%, while still using tax-band space |
| Basic-rate dividend income | 10.75% |
| Higher-rate dividend income | 35.75% |
| Additional-rate dividend income | 39.35% |
Personal Allowance and tax bands
The standard Personal Allowance is £12,570. It reduces by £1 for every £2 of adjusted net income above £100,000 and can fall to zero. The calculator applies available Personal Allowance to other income before dividends. The basic-rate band is £37,700 of taxable income, and additional-rate tax begins once income passes the applicable £125,140 threshold.
How the Dividend Allowance works
The £500 Dividend Allowance is a zero-rate band rather than an income deduction. Dividends covered by it can still use space within the basic or higher-rate band, which may push later dividends into a higher rate.
Dividend income tax example for 2026/27
Enter your other taxable income and dividends for the same tax year. For example, with £29,570 in wages and £3,000 in dividends, the standard £12,570 Personal Allowance leaves £17,000 of taxable wages. The first £500 of dividends falls within the Dividend Allowance; the remaining £2,500 falls in the basic dividend band. At 10.75%, estimated tax on those dividends is £268.75. The result excludes tax on the wages. This makes the tool useful as a dividend income tax calculator when you want to isolate the dividend portion of your bill.
Dividend tax in Scotland
The 2026/27 dividend rates of 10.75%, 35.75% and 39.35% apply across the UK, including Scotland. Scottish rates on salary and other non-dividend income differ, but this tool calculates dividend tax only. Enter your other taxable income so it can estimate which UK dividend bands your dividends fall into. It will not tell you your total Scottish Income Tax bill. If your situation includes reliefs, savings income or other complications, check the result against HMRC guidance or a tax professional.
Salary and dividends for company directors
A director can enter salary under “Other income” and dividends under “Dividend income” to see an estimate of personal dividend tax. As a director dividend tax calculator, this page does not work out Corporation Tax, PAYE on salary, National Insurance or the company’s distributable profits. Those costs matter when comparing salary with dividends, so do not treat the dividend figure as the total cost of taking money from a company.
Dividend tax calculator Scotland: what this result covers
Scottish taxpayers pay the UK dividend tax rates on dividends, even though Scottish rates on salary and other non-dividend income differ. Enter the relevant other income and dividend income for 2026/27 to estimate the tax on dividends only. This is not a full Scottish Income Tax calculation or a company-tax calculation.
Tax on dividends and other income
Use the tax on dividends calculator result to see the estimated dividend bill separately from salary tax. An income and dividend tax calculator covering your entire tax position would also need to calculate tax on wages, savings, reliefs and other circumstances; this tool does not. Try another dividend amount with the same other income to see how the estimated dividend portion changes across the bands.
Related tax calculators
Estimate wider tax with the United Kingdom Income Tax Calculator, model employer costs with the Employer National Insurance Calculator UK, or check specialist relief using the Seafarers Earnings Deduction Calculator. Browse all tools on the United Kingdom Calculator homepage.
Confirm the current rates and reporting rules on the official GOV.UK dividend tax guidance.
Tax on dividend calculator: start with the right income figures
Use the same tax year for both inputs. Enter your other income and dividends, calculate the estimate, then try a second dividend amount if you want to see how the result changes. This dividend tax UK calculator estimates personal tax on dividends; it does not calculate the return an investment will earn.
Which dividend tax calculator should I use?
Choose one that clearly states its tax year, assumptions and what the result includes. If you want a dividend calculator UK estimate of tax, the tool above can help you compare dividend amounts. If you want to forecast dividends from shares, you also need information such as the shareholding and expected payment per share, which this page does not model.
Tax and dividend calculator: compare the money left after dividend tax
A dividend and tax calculator comparison is easier to understand when you change one input at a time. Keep other income fixed, test two dividend amounts, and compare the estimated dividend tax and net dividends. A larger payment can leave you with more cash while also changing the tax due, so check both figures rather than just the headline dividend amount.
Tax dividend calculator and dividend calculator tax estimates
Whether you searched for a tax dividend calculator or a dividend calculator tax estimate, start by checking the allowance and income-band assumptions shown on this page. The result depends on the figures you enter. It cannot check your records, determine whether a company can lawfully pay a dividend or replace a calculation covering your full circumstances.
Dividend UK tax calculator: understand the scope
Use this dividend UK tax calculator to explore the personal tax effect of dividends alongside other income. A UK tax dividend calculator needs that other-income figure because it affects the income bands available to dividends. This tool estimates dividend tax only, so do not read its result as the total tax on your salary and all other income.
Tax on dividends calculator UK: a final check before relying on the result
Check the tax year, income figures and whether your dividends belong in the calculation. If you searched for “UK tax calculator dividends”, the estimate here covers the dividend part of that question. Review the stated exclusions and official guidance if your circumstances include adjustments the calculator does not model.
Frequently asked questions
What is the Dividend Allowance for 2026/27?
It is £500. Qualifying dividends within the allowance are taxed at 0%, but still occupy tax-band space.
What are the 2026/27 dividend tax rates?
The basic, higher and additional dividend rates are 10.75%, 35.75% and 39.35% respectively.
Are ISA dividends included?
No. Dividends inside an ISA are tax-free and should not be entered.
Why does other income change dividend tax?
Other taxable income uses the lower tax bands first, so dividends are more likely to fall into higher bands.
Does the result include tax on salary?
No. It estimates dividend tax only; tax and National Insurance on other income are excluded.