Estimate personal dividend tax for a company director taking salary plus dividends from their limited company. Enter your PAYE salary, total dividends drawn, and any other income to get an instant 2026/27 estimate.
Estimates only. Does not include PAYE income tax, National Insurance or corporation tax on company profits.
With a salary of £12,570 and dividends of £40,000: the salary uses the full Personal Allowance, leaving £0 PA for dividends. The £500 dividend allowance reduces taxable dividends to £39,500. The basic-rate band has £37,700 remaining (£50,270 − £12,570), so £37,700 is taxed at 8.75% (= £3,299) and £1,800 at 33.75% (= £608). Total dividend tax: approximately £3,907.
Corporation tax on company profits is separate and not included here. Use limitedcompanytaxcalculator.co.uk for a full company tax estimate.
No. Corporation tax is paid by the company on its profits before dividends are declared. This calculator covers only the personal dividend tax you pay as a shareholder-director. For a full company tax estimate, see limitedcompanytaxcalculator.co.uk.
No. Only dividend tax is estimated here. Your salary will also be subject to PAYE income tax and employee/employer National Insurance contributions. Use the main UK Dividend Tax Calculator alongside an income tax calculator for a fuller picture.
Many directors set their salary at the Primary Threshold (£12,570 for 2026/27) to avoid employee National Insurance while preserving a full year of State Pension entitlement. Taking salary above this level triggers both employee and employer NI. This calculator shows the dividend tax impact at any salary level.
Disclaimer: Results are estimates based on 2026/27 rates. This tool does not constitute financial or tax advice. Consult a qualified accountant for your personal situation.