Capital Gains, dividend and savings tax calculator

Where you liveScottish Income Tax rates apply if your main home is in Scotland.

Other income for the year (salary, pension, profit)Before tax. It decides which rates and allowances apply to the rest.GBP

Savings interest outside ISAsInterest paid on bank, building society and bond accounts in the tax year.GBP

Dividends outside ISAsFrom shares and funds held outside ISAs and pensions.GBP

Capital gains after lossesShares, funds, crypto or a property that is not your home.GBP

Tax on your savings and investments

£621

Effective rate 7.3 %

Personal Savings Allowance used-£1,000
Tax on savings interest20 %−£100
Dividend allowance used-£500
Tax on dividends10.75 %−£161
Annual exempt amount used-£3,000
Capital Gains Tax18 %−£360

An estimate under the rules for the chosen year, for typical cases. It is not tax advice: check the result with the tax office or an adviser before you file.

How it is calculated

Your other income is taxed first, then savings interest, then dividends. Each slice sits on top of the one before, so your other income decides which rate the interest and dividends fall into. If your other income is below £12,570, the rest of the Personal Allowance covers interest or dividends, whichever saves more tax.

Up to £5,000 of interest can be tax free under the starting rate for savings. It shrinks by £1 for every £1 of other income above the Personal Allowance. On top of that, the Personal Savings Allowance covers £1,000 of interest for basic rate taxpayers, £500 for higher rate and nothing for additional rate.

The first £500 of dividends is tax free. Above that, dividends are taxed at 10.75 %, 35.75 % or 39.35 % in 2026/27. In 2025/26 the first two rates were 8.75 % and 33.75 %.

For Capital Gains Tax, the first £3,000 of gains is tax free. The rest is taxed at 18 % while it fits in the basic rate band left after your income, and at 24 % above it.

Enter only interest, dividends and gains from outside ISAs. Income and gains inside an ISA are tax free and do not use any allowance.
Other income is taxable income such as salary, pension or profit, before the Personal Allowance.
Any Personal Allowance your other income leaves unused is set against interest or dividends in whichever way gives the lowest tax.
Gains are your total gains for the year after losses, before the £3,000 annual exempt amount.
Capital Gains Tax is 18 % within the basic rate band and 24 % above it, for property and other assets alike. Business Asset Disposal Relief is not included.
Dividends are taxed at 8.75 %, 33.75 % and 39.35 % in 2025/26, and at 10.75 %, 35.75 % and 39.35 % in 2026/27.
Scottish taxpayers pay Scottish rates on other income, but UK rates and bands on savings, dividends and gains.
Pension contributions and Gift Aid that extend the basic rate band are not included.

Questions

Do I pay tax on ISA interest, dividends or gains?

No. Anything earned inside an ISA is tax free and does not count towards your allowances. Leave it out of the calculator.

Do the tax-free allowances still use up my basic rate band?

Yes. Interest covered by the starting rate or the Personal Savings Allowance, and dividends covered by the dividend allowance, still count as income. They can push other income into a higher band.

Is the Capital Gains Tax rate different for property?

Not any more. Since 30 October 2024 gains on residential property and other assets are taxed at the same 18 % and 24 % rates. You usually pay nothing when you sell your own home.

How do I pay tax on savings or dividends?

HMRC often collects tax on interest through your tax code. If you have dividends over £10,000, or gains to report, you usually need to file a Self Assessment return.

Sources

Now keep it on track Set the result as a budget in Spendee and see each month how much is left.

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