2016-17 Dividend Tax Increase Calculator

Details
TAX ON SALARY 0.00
EMPLOYEES NICs 0.00
TAX ON DIVIDENDS 0.00
TOTAL TAX 0.00
Notes:
  1. From April 2016, dividends are no longer grossed up.
  2. Taxable gross income = Gross salary + other income + dividend + tax free personal allowance
  3. Dividends are taxed at the basic rate of 7.5% then the higer rate of 32.5% and the additional rate of 38.1% thereafter. There is no longer a tax credit.
  4. UPDATE ( 19th August 2015): The new Dividend Tax Allowance(£5k) was described in the Summer budget as being a “tax-fre allowance”, tather than as a 9% rate(”zero rate”). Hoever , HMRC have now said that it is a zero rate and that it counts towards allowances. After using up any remaining personal allowance the dividends are taxed at 0% for the first £5K, and then at the publised divided rates after that.
  5. The additional tax due is paid as part of your annual tax return.
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