Self Assessment for Dividend Income 2026/27

Reviewed by the UKDividendTaxCalculator team · Last checked 3 November 2026 · Checked against 2026/27 HMRC rates

HMRC won't chase you for dividend tax — the responsibility to declare and pay sits with you, and the penalties for getting it wrong start at £100 and climb fast. The good news: for most people it's straightforward once you know the thresholds and dates. Here's exactly when you must register², what goes where on the return, and the deadlines that matter.

Key dates for 2026/27

Filing this winter: the 2025/26 return

The return due online by 31 January 2027 covers dividends received from 6 April 2025 to 5 April 2026, and they are taxed at the 2025/26 rates: 8.75%, 33.75% and 39.35% after the £500 allowance, not 10.75% and 35.75%.⁴ On the worked example below, £3,000 of dividends on a £35,000 salary, that is £218.75 for 2025/26 rather than £268.75. Our 2025/26 dividend tax guide has the dates, the SA100 boxes and a director's first January bill.

When you must file

Dividend income above the £500 allowance is taxable. You must register for Self Assessment if your dividend income is over £10,000 in a tax year; between £500 and £10,000 you can instead ask HMRC to collect the tax through your PAYE tax code (the £500 allowance replaced the previous £1,000 from 2024/25). Either way, HMRC will not collect dividend tax unless you tell them — the responsibility to declare and pay sits with you.

If you already file Self Assessment for another reason — self-employment, rental income, the High Income Child Benefit Charge — you just add dividend income to that return. No separate filing needed. If you don't currently file, you must register with HMRC by 5 October following the end of the tax year.

What to include on the return

On the main return (SA100), dividends from UK companies go in box 4, and distributions from unit trusts, OEICs and investment trusts in box 5. Stock dividends and non-qualifying dividends go on the Additional information pages (SA101).⁶ UK dividends have no withholding tax, so the figure on your broker statement or dividend voucher is the amount to enter.

Your investment platform usually provides a consolidated tax certificate in April covering all dividends paid during the year. Use that. Enter the total and HMRC's system applies the £500 allowance and calculates tax at the right rate.

Company director? From the 2025/26 return the Employment pages also ask whether your company is a close company and, if it is, for the dividends it paid you in box 7.3, as well as box 4. See close company dividends on the return.⁶

Foreign dividends of up to £500 can go in box 6 of the main return, but only if your only other foreign income is untaxed interest and you claim deduction relief. If your UK and foreign dividends together are over £500 and you want Foreign Tax Credit Relief, use the Foreign pages (SA106) instead.⁶ On the Foreign pages, enter the gross amount before any withholding tax, the withholding tax deducted, and claim any double taxation relief. Convert foreign currency to sterling at the exchange rate on the date you received it.

Dividends from more than one country? The foreign dividend check works out the UK tax, the credit for tax taken abroad and whether you need a tax return.

Worked example: calculating what you owe

An investor has a salary of £35,000 and £3,000 of dividends outside an ISA in 2026/27. The salary keeps them a basic-rate taxpayer, so the dividends are charged at 10.75%:

Because the £3,000 is under £10,000, this person could ask HMRC to collect the £268.75 through their tax code rather than filing a full return. Salary income tax is already handled through PAYE and isn't re-reported unless the tax code was wrong.

Penalties for late filing or non-filing

If you miss the 31 January filing deadline:

• Immediately: £100 fixed penalty (even if no tax is owed).
• 3 months late: £10 per day for up to 90 days (maximum £900).
• 6 months late: 5% of tax due or £300, whichever is greater.
• 12 months late: A further 5% of tax due or £300.

Paying late is separate: 5% of the unpaid tax at 30 days, 6 months and 12 months, plus interest.⁸ Our late penalty calculator adds up both for the dates you file and pay. If you have missed a deadline, file as soon as you can and contact HMRC. They may reduce penalties for genuine error, but that is not guaranteed. Penalties apply even if no tax is owed.

ISA and pension dividends, no filing needed

Dividends inside a Stocks and Shares ISA or pension (SIPP) are completely exempt and don't need to be declared. They don't count toward the £500 threshold either. If all your dividends come from ISA holdings, you have no dividend tax reporting obligation regardless of the amount received.