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Dividend tax calculator

Calculate the tax you'll pay on any dividends you receive.

If you earn dividends from stocks or shares, you may need to pay tax on that income. 

Dividends are distributed by companies as a way to share profits with their shareholders.

The rate of tax you pay on dividends is different to that for other income - you can find out more in our guide to dividend tax.

You can use our calculator to work out how much you'll need to pay.


What is my dividend allowance?

Everyone will be able to earn £2,000 from dividends tax-free in the 2022-23 tax year.

This allowance has been the same amount in the 2021-22 and 2020-21 tax years.

How much tax will I pay?

Above your dividend allowance, you'll pay tax at the rate you pay your other income - known as your marginal tax rate.

If you're a basic-rate payer, you'll pay 7.5% on dividend income. Higher-rate payers pay 32.5% while additional-rate payers pay 38.1%.

In 2022-23, these rates will all increase by 1.25 percentage points. This means basic-rate taxpayers will be charged 8.75%, higher-rate taxpayers will be charged 33.75%, and additional-rate taxpayers will need to pay 39.35%.

Read more in our guide to dividend tax rates.