Updated for 2026/27

Calcolatore dell'Imposta sui Dividendi 2026/27

Enter your PAYE salary (if any) and your dividend income to see how much dividend tax you owe and what your combined take-home pay will be. The calculator accounts for your Personal Allowance, the £500 Dividend Allowance, and the correct marginal rates.

Enter 0 if you only receive dividends

Dividend tax breakdown

Total income (salary + dividends)£52,570.00
Personal Allowance£12,570.00
Income tax on salary£0.00
National Insurance on salary£0.00
Dividend Allowance used£500.00 (tax-free)
£37,700.00 at Basic rate (8.75%)£3,298.75
£1,800.00 at Higher rate (33.75%)£607.50
Total dividend tax£3,906.25
Take-home pay£48,663.75
Effective dividend tax rate: 9.8%
Overall effective tax rate: 7.4%

You keep £48,663.75 of £52,570.00 total income. Dividend tax: £3,906.25 on £40,000.00 dividends.

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How dividend tax works

Dividends are taxed after your other income (salary, self-employed profits). The first £500 of dividend income is tax-free (the Dividend Allowance). After that, the rate depends on which tax band the dividends fall into:

  • Basic rate band: 8.75%
  • Higher rate band: 33.75%
  • Additional rate band: 39.35%

Dividends do not attract National Insurance. If you pay yourself a small salary and take the rest as dividends, you can significantly reduce your overall tax bill — though this only works through a limited company.

See our self-employed tax guide for more on structuring your income.