Dividends above higher rate of tax threshold.

[Halo Jones]

I need a rough guide as to how much tax I'm going to pay next year.

Lots, they need to fund another election

[Clare@InTouch]

IIRC it's 32.5%

Due to a weird interaction between the 40% tax band and the 10% tax credit on dividends

Tax on dividends in higher rates is 32.5% - less the 10% tax credit = 22.5% of the gross. This equates to 25% of the net.

The additional rate (over £150k) is now 42.5% of the gross.

[administrator]

Try our dividend tax calculator. We made the higher rate band changed to it a while ago and it *should* be working correctly.

[Platypus]

IIRC it's 32.5%

Due to a weird interaction between the 40% tax band and the 10% tax credit on dividends

[Moscow Mule]

What is it if you go over 150K?

It gets complicated...

However, there's a very slim chance of me hitting that this year - expecting to get canned in August, if not before and in a good year I'm well below.

[MarillionFan]

Hmm fast?

Anyway, the search seems to be working so i found it in Accounting: x = 25% apparently.

What is it if you go over 150K?

[Moscow Mule]

Ok HM Revenue & Customs: Home Page

Hmm fast?

Anyway, the search seems to be working so i found it in Accounting: x = 25% apparently.

[Ruprect]

Need a fast answer, I can get a sensible answer from my accountant tomorrow...

Ok HM Revenue & Customs: Home Page

[Moscow Mule]

Ask in accounting and you might get a sensible answer

hth

Need a fast answer, I can get a sensible answer from my accountant tomorrow...

[MarillionFan]

X = Amount Earned
Y = Rate of Tax
Z = Declared Percentage

I recommend you set z = 0

So therefore

tax = x*y*z

Simples

[Ruprect]

Ask in accounting and you might get a sensible answer

hth

[Moscow Mule]

I need a rough guide as to how much tax I'm going to pay next year.

Tax due = (Dividends taken above higher rate tax threshold) * X

What is X? 0.25, 0.3?

TVM