Dividend Tax Calculator 2026/27
Tax on dividends with the 2026/27 rates and allowance.
Your details
After any pension contributions taken from your pay. Leave out savings interest.
Tax on your dividends
£1,021.25
2026/27 tax year
- Dividend allowance (0%)
- £500
- At ordinary rate (10.75%)
- £9,500
- Income tax on your other income
- £4,486.00
- Total income tax
- £5,507.25
From 6 April 2026 the ordinary and upper dividend rates rose by 2 percentage points. Dividends in an ISA or pension are tax free and not included here. Assumes the standard Personal Allowance and no savings income; Scottish taxpayers pay these same dividend rates.
How it is worked out
- 1Your other income uses up your Personal Allowance and tax bands first, and dividends sit on top.
- 2The first £500 of dividends is taxed at 0%, but still uses up band space.
- 3Dividends in the basic rate band are taxed at 10.75%, in the higher rate band at 35.75%, and above that at 39.35%.
Worth knowing
- Dividends in ISAs and pensions are tax free and not included.
- If you receive more than £10,000 of dividends you usually need to file a Self Assessment return.
Common questions
What is the dividend allowance for 2026/27?+
£500. It stays the same as in 2025/26.
Did dividend tax go up in April 2026?+
Yes. The ordinary rate rose from 8.75% to 10.75% and the upper rate from 33.75% to 35.75%. The additional rate stayed at 39.35%.
Sources
The rules and figures behind this calculator come from:
Results are estimates using 2026/27 rates and the standard Personal Allowance. They are not tax advice. Check HMRC guidance or speak to an accountant for your situation.
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