Dividend tax on £3,000
Quick answer
Taking £3,000 in dividends on top of a £12,570 salary, the dividend tax is about £269 for 2026/27 — leaving £2,731 after tax.
- Dividends
- £3,000
- Dividend allowance
- − £500
- Taxable dividends
- £2,500
- Dividend tax
- £269
How much dividend tax on £3,000?
Assuming you're a company director taking a £12,570 salary (using your Personal Allowance) plus £3,000 in dividends, the dividend tax for 2026/27 is about £269. The first £500 of dividends is covered by the dividend allowance and taxed at 0%; the remaining £2,500 is taxed at the dividend rates.
Your actual bill depends on your other income, so treat this as a typical-director estimate and use the dividend tax calculator for your exact position.
How dividend tax works
Dividends sit on top of your other income and have their own rates and a tax-free allowance. After the allowance, dividends falling in the basic-rate band are taxed at the ordinary dividend rate, then higher and additional rates apply as your total income rises. Dividends carry no National Insurance, which is why the salary-plus-dividends mix is common for directors.
