Dividend Tax Calculator
Work out the tax on your dividend income, using the £500 tax-free Dividend Allowance and the basic, higher and additional dividend tax rates.
Estimate only. 2026/27 estimate, verify with gov.uk/HMRC; not tax advice.
Enter your dividend income
Your Dividend Allowance, taxable dividends and dividend tax appear here as you type.
How UK dividend tax works
Dividend income is taxed on top of your other income, so which dividend tax band you fall into depends on your total taxable income, not just the dividends themselves. The first £500 of dividends each tax year is tax-free (the Dividend Allowance). Above that, for 2026/27, dividends within the basic-rate band are taxed at 10.75%, dividends in the higher-rate band at 35.75%, and dividends in the additional-rate band at 39.35%. In 2025/26 the basic and higher rates were 8.75% and 33.75%, and the additional rate was the same. These bands are UK-wide, Scottish and Welsh taxpayers use the same thresholds as England and Northern Ireland for dividend tax, unlike Income Tax on salary.
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