UK Income Tax Calculator

What is UK income tax?

Income tax is charged on most types of income you receive — employment, self-employment, pensions, rental, savings, and dividends. The 2025/26 Personal Allowance is £12,570 for everyone earning under £100k; the rest is taxed in three bands.

UK income tax rates 2025/26

Rates apply to England, Wales and Northern Ireland. Scotland has different bands (Starter 19%, Basic 20%, Intermediate 21%, Higher 42%, Top 47%).

Personal Allowance tapers above £100,000 — you lose £1 of PA per £2 of income above £100k, fully gone by £125,140.

When do you owe income tax?

Most income tax is collected automatically via PAYE (employees) or directly by HMRC for pension and savings income. You only need to file Self Assessment if:

• You're self-employed earning over £1,000
• You're a landlord with rental income over £1,000
• You earn over £100,000
• You have untaxed income (dividends >£500, savings interest >£500, capital gains)
• You're a partner in a partnership
• HMRC has registered you for SA

Reduce your income tax bill

• Pension contributions — relief at your marginal rate, up to £60k/year
• Gift Aid donations — basic rate added at source; higher/additional rate claimed on SA
• Marriage Allowance — transfer £1,260 of unused PA between spouses
• EIS / SEIS / VCT — 30%–50% income tax relief on qualifying small-company investments
• ISA wrapper — gains and dividends tax-free, up to £20k/year