Overview
This income tax calculator shows how much UK income tax you'll pay in the 2026/27 tax year, and exactly how it's split across each tax band. Enter your annual income and choose your region — England, Wales & Northern Ireland, or Scotland, which sets its own bands. You'll see your total tax, what you keep, your effective rate (tax as a share of income) and your marginal rate (the rate on your next pound). This tool covers income tax only; to include National Insurance and see your full take-home pay, use our salary calculator.
How it's calculated
UK income tax is banded — different slices of your income are taxed at different rates. We work it out in three steps:
- Personal Allowance. The first £12,570 is usually tax-free. If you earn over £100,000 it's reduced by £1 for every £2 above that, reaching £0 at £125,140.
- Taxable income. We subtract your Personal Allowance from your income — what's left is taxable.
- Apply the bands. Each slice of taxable income is taxed at its band rate (20%, 40% then 45% in England, Wales & NI; six bands from 19% to 48% in Scotland), and we add them together.
Income tax = Σ (taxable income in each band × that band’s rate)
Only the portion of income that falls within a band is taxed at that band's rate — moving into a higher band never reduces your take-home pay overall.
Worked example
Take someone earning £60,000 in England for 2026/27:
| Income | £60,000 | |
|---|---|---|
| Personal Allowance (tax-free) | £12,570 | 0% |
| Taxable income | £47,430 | |
| Basic rate | − £7,540 | 20% on £37,700 |
| Higher rate | − £3,892 | 40% on £9,730 |
| Total income tax | £11,432 | |
| Income after tax | £48,568 |
So a £60,000 income means about £11,432 of income tax — an effective rate of roughly 19%, even though the top slice is taxed at 40%. National Insurance would be on top of this.
Current rates & key facts
Income tax bands — England, Wales & Northern Ireland (2026/27)
| Band | Taxable income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic rate | £12,571 – £50,270 | 20% |
| Higher rate | £50,271 – £125,140 | 40% |
| Additional rate | Over £125,140 | 45% |
Scotland has six bands for 2026/27 (19% starter to 48% top) — switch the region toggle to use them. The Personal Allowance is the same UK-wide and tapers above £100,000.
Last updated 28 June 2026 · Source: GOV.UK — Income Tax rates and Personal Allowances