Dividend tax calculator
Choose your tax residence and enter the dividends you receive in a year and your other income. The calculator applies that country's dividend rules and shows how the tax is worked out.
Your figures
The result updates as you change a figure. Nothing you type is saved.
Result
Tax on the dividends: ￡6,971
Effective rate: 34.9% of the dividends
Dividends after tax: ￡13,029
| Band | Dividends | Tax |
|---|---|---|
| Tax free (allowances) | ￡500 | ￡0 |
| 35.75% from ￡37,700 to ￡125,140 | ￡19,500 | ￡6,971 |
How this is worked out
In the UK the first ￡500 of dividends a year is tax free. The rest is taxed at 10.75% in the basic rate band, 35.75% in the higher rate band and 39.35% in the additional rate band, on top of your other income after the ￡12,570 personal allowance. Above ￡100,000 of income the personal allowance shrinks by half the excess, and the income it no longer covers is taxed as well.
In the US qualified dividends pay 0% up to $49,450 of taxable income, 15% up to $545,500 and 20% above, after the $16,100 standard deduction, plus the state's income tax and the 3.8% net investment income tax on income above $200,000. In Canada a dividend is grossed up, by 38% for an eligible dividend and 15% for any other, taxed with your other income, and the federal and provincial dividend tax credits come off the tax.
Assumptions and limits
One person, under the 2026 rules (the 2026-27 tax year in the UK), with dividends of a company of the same country. Scottish taxpayers pay the UK dividend rates. In the US: a single filer, qualified dividends, the state's top rate on the whole dividend and no city or county tax. In Canada: the 2024 tax brackets with no basic personal amount, and credits that lower the tax on other income at most to nothing, never refunded. The tax on split income and the alternative minimum tax are not included.
Sources
- GOV.UK - Tax on dividends (checked 2026-11-04)
- GOV.UK - Income Tax rates and Personal Allowances (checked 2026-11-04)
- IRS - Topic no. 404, Dividends and other corporate distributions (checked 2026-11-04)
- IRS - Rev. Proc. 2025-32 (checked 2026-11-04)
- IRS - Topic no. 559, Net investment income tax (checked 2026-11-04)
- Tax Foundation - 2026 State Income Tax Rates and Brackets (checked 2026-11-04)
- Justice Laws - Income Tax Act, section 82 (checked 2026-11-04)
- Justice Laws - Income Tax Act, section 121 (checked 2026-11-04)
- TaxTips.ca - Eligible Dividend Tax Credit Rates (checked 2026-11-04)
- TaxTips.ca - Dividend Tax Credit for Non-Eligible Canadian Dividends (checked 2026-11-04)
An illustration with simplified rules, not financial advice.