Dividend Tax Calculator
Director salary + dividends, 2026/27 ratesRuns in your browser
| Dividend band | Rate | Amount | Tax |
|---|---|---|---|
| Dividend allowance | 0% | £500.00 | £0.00 |
| Basic rate | 10.75% | £37,200.00 | £3,999.00 |
| Higher rate | 35.75% | £2,300.00 | £822.25 |
| Per year | |
|---|---|
| Personal Allowance | £12,570 |
| Income tax on salary | £0.00 |
| Employee NI on salary | £0.00 |
| Dividend tax | £4,821.25 |
| Take-home (salary + dividends) | £47,748.75 |
2026/27 dividend rates: 10.75% basic, 35.75% higher, 39.35% additional, with a £500 tax-free dividend allowance. Dividends use UK-wide bands even for Scottish taxpayers and are paid from company profits after Corporation Tax, which isn't included here. Employer NI on a director's salary isn't included either.
These are estimates based on 2026/27 rates and the inputs you give. Your actual position can differ (other income, benefits in kind, tax code changes, scheme rules). This is not financial or tax advice.
How it works
Worked example
Input: £12,570 salary + £50,000 dividends, England.
- Salary uses the whole Personal Allowance: no income tax or NI.
- £500 dividend allowance at 0%; £37,200 at 10.75% = £3,999.
- £12,300 at 35.75% = £4,397.25.
Result: £8,396.25 dividend tax; take-home £54,173.75.
Sources
How to use
- 1Enter your salary (and any other non-dividend income).
- 2Enter your dividends for the year.
- 3See dividend tax by band, total tax and take-home.
FAQ
What are the dividend tax rates for 2026/27?
10.75% in the basic-rate band, 35.75% in the higher-rate band and 39.35% in the additional-rate band, after the £500 dividend allowance. The basic and higher rates rose by 2 percentage points from April 2026.
Do Scottish taxpayers pay different dividend tax?
No. Dividends are taxed at the UK rates and bands, though the Scottish rates apply to salary.