Kael Tripton

UK Tax

Independent UK editorial on income tax, council tax, VAT, capital gains, inheritance tax and self-assessment. Verified against HMRC and legislation.gov.uk.

Updated continuously

Sources: HMRC · legislation.gov.uk · OBR · ONS · HM Treasury

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All Tax Guides

UK income tax for 2026 to 2027 starts above a £12,570 Personal Allowance. In England, Wales and Northern Ireland the next £37,700 is taxed at 20%, income from £50,271 to £125,140 at 40% and income above that at 45%. The average Band D council tax bill in England is £2,392 for 2026 to 2027.

KEY FACTS

Personal Allowance: £12,570, reduced by £1 for every £2 of income above £100,000.
England, Wales and Northern Ireland: 20% basic rate on the first £37,700 of taxable income, 40% higher rate to £125,140, 45% above.
Scotland: six bands for 2026 to 2027, from a 19% starter rate up to £3,967 to a 48% top rate above £125,140.
Dividends: £500 allowance, then 10.75% basic, 35.75% higher and 39.35% additional rate from 6 April 2026.
Capital Gains Tax: £3,000 annual allowance, then 18% within the basic rate band and 24% above it.
Inheritance Tax: 40% above a £325,000 threshold, which can rise to £500,000 when a home passes to children or grandchildren.
Making Tax Digital for Income Tax: qualifying income over £50,000 from 6 April 2026, £30,000 from 6 April 2027 and £20,000 from 6 April 2028.
Council tax: average Band D in England is £2,392 for 2026 to 2027, up £111 (4.9%) on 2025 to 2026.

Income tax and take-home pay

Rates, bands, tax codes and take-home pay after tax and National Insurance.

UK tax explained: the full guide to income tax, National Insurance and allowances
Income tax bands: rates and thresholds for each band
Personal Allowance: the tax-free amount and who gets it
The 60% tax trap: how the allowance tapers between £100,000 and £125,140
Marriage Allowance: transferring part of the allowance to a partner
Tax codes by letter: what each letter in a tax code means
Emergency tax codes: why they appear and how they are corrected
Self Assessment: who has to file a tax return
Making Tax Digital: quarterly updates for sole traders and landlords
National Insurance for the self-employed: Class 2 and Class 4 explained
Check National Insurance contributions: gaps in the record and how to view it
HMRC tax refunds: when overpaid tax comes back
Income tax calculator: tax and take-home pay for any salary
Salary calculator: monthly and weekly pay after deductions
UK salary guide: pay by band and what each band takes home
BR tax code: what it means and when it is used
Dividend tax from April 2026: the 2 point rise and who pays it
How the UK tax system works: an overview for residents
Double taxation agreements: income taxed in more than one country
Apps for the self-employed: record keeping and tax return tools compared

Council tax

Bands, bills, discounts and what happens when a bill goes unpaid.

UK council tax guide: how bills are set and paid
Council tax bands by council: band charges area by area
Band D explained: the benchmark band behind every bill
Council Tax Reduction: help with bills on a low income
How to claim Council Tax Reduction: applying through the local council
Council tax statistics: averages and increases by year
Council tax exemptions: properties and people that pay nothing
Council tax for students: when students are exempt
Disability reduction: the band reduction scheme
Second homes: premiums and discounts
Council tax arrears: reminders, liability orders and enforcement
Council tax in Scotland: bands and rules north of the border

Vehicle tax

Taxing, checking and reclaiming vehicle tax with the DVLA.

How to tax a car online: the DVLA steps and documents
Check if a car is taxed: the free DVLA check
Vehicle tax bands: VED rates explained
Vehicle tax refunds: when money comes back automatically
Vehicle tax in Northern Ireland: the differences to know

Savings, property and estates

Tax on gains, homes, pensions and what is left behind.

Inheritance Tax guide: thresholds, reliefs and gifts
Taper relief on gifts: the 7 year rule
Pensions and Inheritance Tax from April 2027: unused pension funds in the estate
Capital Gains Tax explained: what counts as a gain and how it is taxed
Pension tax relief: how relief is added at each rate
Stamp Duty guide: rates, first-time buyer relief and surcharges
VAT explained: rates and registration
Tax-Free Childcare vs vouchers: which scheme pays more

DISCLAIMER

This page is editorial information about UK taxes. It is not tax advice. Figures are for the 2026 to 2027 tax year and were correct at the last review date shown; check the primary sources listed below or HMRC before acting.

Frequently asked questions

How much can someone earn before paying income tax in 2026 to 2027?

The Personal Allowance is £12,570. It falls by £1 for every £2 of income above £100,000, so someone with income of £125,140 or more has no Personal Allowance.

What are the dividend tax rates for 2026 to 2027?

After the £500 dividend allowance, dividends are taxed at 10.75% in the basic rate band, 35.75% in the higher rate band and 39.35% in the additional rate band. The basic and higher rates rose by 2 percentage points on 6 April 2026.

Who has to use Making Tax Digital for Income Tax?

Sole traders and landlords with qualifying income over £50,000 in the 2024 to 2025 tax year from 6 April 2026. The threshold falls to £30,000 from 6 April 2027 and £20,000 from 6 April 2028. Qualifying income is gross income from self-employment and property.

What is the average council tax bill in England for 2026 to 2027?

The average Band D bill is £2,392, up £111 or 4.9% on 2025 to 2026, including adult social care and parish precepts. The average bill per dwelling is £1,868.

What is the Inheritance Tax threshold?

£325,000. It can rise to £500,000 when a home is left to children or grandchildren, and unused threshold can pass to a surviving spouse or civil partner. Tax is charged at 40% on the part of the estate above the threshold.

SOURCES

GOV.UK: Income Tax rates and allowances for current and previous tax years, accessed 25 October 2026
GOV.UK: Capital Gains Tax rates, accessed 25 October 2026
GOV.UK: Inheritance Tax, accessed 25 October 2026
GOV.UK: Find out if and when you need to use Making Tax Digital for Income Tax, accessed 25 October 2026
MHCLG: Council Tax levels set by local authorities in England 2026 to 2027, accessed 25 October 2026

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Editorial Independence Every article is sourced directly from UK government and regulatory bodies. No commission on FCA-regulated products, no lead routing. Commercial placements are clearly labelled and never determine our editorial conclusions. Kael Tripton Ltd, ICO registration ZC135439.