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🇬🇧 United Kingdom / Tax
Calculate UK income tax and National Insurance under PAYE for 2025/26. Covers personal allowance £12,570, basic, higher, and additional rate thresholds.
13 calculators
Calculate Capital Gains Tax on UK shares, property, and other assets. Apply the £3,000 annual CGT allowance and correct tax rates for basic and higher rate taxpayers.
Calculate Corporation Tax on company profits. Apply the 19%–25% marginal relief rate for profits between £50,000 and £250,000 for UK limited companies.
Estimate your annual Council Tax across all valuation bands and UK local authorities. See applicable discounts, exemptions, and reductions for single occupancy and low income.
Calculate income tax on UK dividends received by shareholders and company directors. Apply the £500 dividend allowance and the 8.75%, 33.75%, or 39.35% dividend tax rates.
Calculate UK income tax for the 2024-25 tax year. See Personal Allowance, basic rate, higher rate, and additional rate bands with National Insurance and student loan deductions.
Calculate Inheritance Tax liability on a UK estate. Apply the £325,000 nil-rate band, residence nil-rate band, and the 40% IHT rate to estimate your estate's tax exposure.
Calculate National Insurance contributions for employees and self-employed workers. See Class 1, 2, and 4 NI rates and thresholds for the 2024-25 UK tax year.
Calculate your PAYE deductions from salary. See how Pay As You Earn deducts income tax and National Insurance at source through your UK employer payroll.
Estimate your Self Assessment tax bill for the UK. Calculate income tax, Class 4 NI, and payments on account for self-employed, landlords, and those with multiple income sources.
Calculate Stamp Duty Land Tax on UK residential and commercial property purchases. Covers standard rates, first-time buyer relief, and the 3% additional dwelling surcharge.
Calculate monthly student loan repayments under Plan 1, Plan 2, Plan 4, and Plan 5. See your repayment threshold, monthly deduction, and years to pay off your UK student loan.
Add or remove UK VAT at standard (20%), reduced (5%), or zero rate. Instant gross and net price breakdown.
Add or remove VAT at the standard 20%, reduced 5%, or zero-rated 0% UK rate. Instantly calculate VAT-inclusive and VAT-exclusive prices for any transaction.
The United Kingdom collects income tax from employees through the PAYE (Pay As You Earn) system, under which employers calculate and deduct income tax and National Insurance Contributions (NICs) from each pay packet before the employee receives it. This means most employees in the UK never file a tax return, as their tax affairs are handled entirely at source, with HMRC adjusting tax codes to account for additional income sources or untaxed benefits.
For 2025/26, the Personal Allowance, the amount of income on which no tax is payable, remains frozen at £12,570. Income above this threshold is taxed at 20% (basic rate) up to £50,270, at 40% (higher rate) between £50,271 and £125,140, and at 45% (additional rate) above £125,140. The Personal Allowance tapers to zero for incomes above £100,000 at a rate of £1 for every £2 of additional income, creating an effective 60% marginal rate on income between £100,000 and £125,140, often called the personal allowance trap.
Class 1 National Insurance Contributions for employees are charged at 8% on earnings between £12,570 and £50,270 (the Primary Threshold and Upper Earnings Limit), and at 2% on earnings above the UEL. Employers pay an additional 13.8% NIC on earnings above £9,100, which adds substantially to the cost of employment but does not appear on the employee's payslip. Tax codes, with 1257L being the most common for the standard personal allowance, appear on payslips and determine how employers apply withholding.
The personal allowance is frozen until April 2028, meaning that pay rises push more individuals into higher tax brackets each year, a process known as fiscal drag. Higher-rate taxpayers can reduce their effective rate through pension contributions (which attract tax relief at the marginal rate), Gift Aid donations, and salary sacrifice arrangements. Marriage Allowance allows lower earners to transfer £1,260 of unused Personal Allowance to a basic-rate taxpayer spouse or civil partner.