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UK Income Tax Calculator

Calculate UK income tax and take-home pay for 2026/27, including Scottish rates and the personal allowance taper.

About the UK Income Tax Calculator

The personal allowance is £12,570, reduced by £1 for every £2 of income over £100,000 (gone at £125,140). In England, Wales and Northern Ireland, taxable income is taxed at 20% up to £37,700, 40% to £125,140 and 45% above.

Scotland has six bands for 2026/27: 19%, 20%, 21%, 42%, 45% and 48%. Thresholds are frozen until April 2031.

The formula

Tax = bands applied to (income − pension − personal allowance)

2026/27 bands above the personal allowance

RateEngland, Wales, NIScotland
19% starter—£0 – £3,967
20% basic£0 – £37,700£3,968 – £16,956
21% intermediate—£16,957 – £31,092
40% / 42% higher£37,701 – £125,140£31,093 – £62,430
45% advanced—£62,431 – £125,140
45% / 48% topabove £125,140above £125,140

Worked example

Example: Income tax 2026/27 = £7,486

  1. Inputs: Yearly income before tax: £50,000; Pension via salary sacrifice (yearly): £0; Where you live: England, Wales, NI.
  2. Formula: Tax = bands applied to (income − pension − personal allowance)
  3. Result: Income tax 2026/27 = £7,486
  4. Marginal tax rate: 20%
  5. National Insurance: £2,994
  6. Take-home per month: £3,293

Things to keep in mind

  • Employee NI shown assumes category A; salary sacrifice also reduces NI, relief-at-source pensions don't reduce it.

Questions people ask

What is the 60% tax trap?

Between £100,000 and £125,140 the allowance taper makes the effective rate 60%; pension contributions can avoid it.

Are savings and dividends taxed the same?

No; they have their own allowances and rates (dividends 10.75%/35.75%/39.35% from April 2026).

Sources