Dividend Tax Calculator
Calculate tax on dividends for the 2025/26 tax year. Includes the £500 dividend allowance and rates for basic, higher and additional rate taxpayers.
£
£
This determines which dividend tax band applies.
Dividend tax to pay
£2,764
Effective dividend rate
13.82%
Dividend tax breakdown
Total dividend income£20,000
Dividend allowance (tax-free)-£500
Taxable dividends£19,500
Basic Rate (8.75%)-£1,336
Higher Rate (33.75%)-£1,428
Total dividend tax£2,764
Dividend tax rates 2025/26
Basic rate
8.75%
Higher rate
33.75%
Additional rate
39.35%
Dividend allowance: £500 per year. Your other income determines which band your dividends fall into.
Net dividend income
Gross dividends£20,000
Tax-£2,764
You keep£17,236