Tax on a £30,000 Dividend in the UK
HMRC dividend tax on £30,000 for 2026-27 (basic and higher rates rose 2pp on 6 Apr 2026). Below we show basic, higher, and additional-rate taxpayer outcomes, the £500 Dividend Allowance, and the exact split across 10.75% / 35.75% / 39.35% bands.
Gross dividend
£30,000
with £30,000 other income
Dividend Allowance
£500
tax-free slice
Dividend tax
£5,479
basic-rate case
Net dividend
£24,521
18.3% effective
Your total income (£60,000) plus this dividend spans more than one tax band. The breakdown below splits the £29,500 taxable dividend across 10.75% (basic), 35.75% (higher), and 39.35% (additional) as applicable — basic and higher rose 2pp on 6 Apr 2026.
Band-by-band breakdown (basic-rate taxpayer)
| Band | Rate | Dividend in band | Tax |
|---|---|---|---|
| Dividend Allowance | 0% | £500 | £0 |
| Basic (10.75%) | 10.75% | £20,270 | £2,179 |
| Higher (35.75%) | 35.75% | £9,230 | £3,300 |
| Additional (39.35%) | 39.35% | £0 | £0 |
| Total tax | £29,500 | £5,479 |
By taxpayer band — 2026-27
Same £30,000 dividend, three different taxpayer profiles. Dividend tax depends on where the dividend sits after stacking on top of your other income.
| Profile | Other income | Dividend tax | Net dividend |
|---|---|---|---|
| Basic-rate payer | £30,000 | £5,479 | £24,521 |
| Higher-rate payer | £60,000 | £10,546 | £19,454 |
| Additional-rate payer | £130,000 | £11,608 | £18,392 |
2025-26 vs 2026-27
The Dividend Allowance stayed at £500 and the Personal Allowance at £12,570, but basic and higher dividend rates rose 2 percentage points on 6 April 2026: basic 8.75% → 10.75%, higher 33.75% → 35.75%. The additional rate is unchanged at 39.35%. A £30,000 dividend for a basic-rate taxpayer produced £4,889 tax in 2025-26 versus £5,479 in 2026-27.
Run this with your own numbers
The figures above assume no Personal Allowance taper. For a precise result that factors in salary, directors' NI, Scotland rates, and the PA taper above £100k, use the full calculator.
Frequently asked
How much tax on a £30,000 dividend UK?
For a basic-rate taxpayer (other income £30,000) for 2026-27: £5,479 after the £500 Dividend Allowance. Higher-rate payer: £10,546. Additional-rate payer: £11,608.
Do I need to report this dividend to HMRC?
If your total dividend income in the tax year exceeds £500, yes — either by asking HMRC to adjust your tax code (up to £10,000 in dividends and only if PAYE), or by filing Self Assessment. Dividends inside an ISA or pension never count.
Is a £30,000 dividend better than salary?
For an owner-director of a limited company, usually yes on a pound-for-pound basis: no NI on dividends, lower headline rates, and you can time payments. But dividends come from post-Corporation-Tax profit, so the full comparison depends on your profit level, other income, and pension plans. Use the contractor comparison calculator for a full worked example.