Calculate your dividend tax liability for the 2026/27 tax year.
Dividends are added to your other income and taxed at special rates. The first £500 of dividends is tax-free (dividend allowance), then taxed based on which income tax band they fall into.
Many company directors pay themselves a small salary (often £12,570) to use their personal allowance, then take additional income as dividends for tax efficiency.
| Personal Allowance | £12,570 |
| Basic Rate | £12,571-£50,270 |
| Higher Rate | £50,271-£125,140 |
| Additional Rate | Over £125,140 |