Resources
The rates, dates, and practical guides we actually use with clients — kept current, written in plain English, and free of the hundred-page factsheet libraries nobody reads.
Tax rates & key allowances 2026/27
For the tax year 6 April 2026 to 5 April 2027. Last reviewed July 2026; updated after each Budget. Figures are a general summary — how they apply to you depends on your circumstances.
Scottish income tax (non-savings income)
| Band | Income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Starter rate | £12,571 – £16,537 | 19% |
| Basic rate | £16,538 – £29,526 | 20% |
| Intermediate rate | £29,527 – £43,662 | 21% |
| Higher rate | £43,663 – £75,000 | 42% |
| Advanced rate | £75,001 – £125,140 | 45% |
| Top rate | Over £125,140 | 48% |
Applies to wages, profits, and rents of Scottish taxpayers. Savings and dividend income use UK-wide bands (basic to £50,270, higher to £125,140).
Dividends
- Dividend allowance: £500
- Basic rate: 10.75% · Higher rate: 35.75% · Additional rate: 39.35%
- Ordinary and upper rates rose 2 percentage points on 6 April 2026.
National Insurance
- Employees: 8% on £12,570–£50,270, 2% above
- Employers: 15% above £5,000 per employee
- Employment Allowance: up to £10,500 off employer NIC
- Self-employed Class 4: 6% on £12,570–£50,270, 2% above
Corporation tax
- Small profits rate (up to £50,000): 19%
- Main rate (over £250,000): 25%
- Marginal relief tapers between the two
VAT
- Standard rate: 20% · Reduced: 5% · Zero: 0%
- Registration threshold: £90,000 (rolling 12 months)
- Deregistration threshold: £88,000
Capital gains tax
- Annual exempt amount: £3,000
- Rates: 18% (basic) / 24% (higher)
- Business Asset Disposal Relief: 18% (from 6 April 2026), £1m lifetime limit
Other allowances
- Inheritance tax nil-rate band: £325,000 (+ £175,000 residence band)
- Pension annual allowance: £60,000
- ISA allowance: £20,000
- National Living Wage (21+): £12.71/hour from April 2026
Making Tax Digital for Income Tax
Live since 6 April 2026 for sole traders and landlords with qualifying income over £50,000 — dropping to £30,000 in April 2027 and £20,000 in April 2028. Digital records plus quarterly updates replace the single annual return.
Key dates & deadlines
Self Assessment
- Register for Self Assessment
- 5 October
- Online return filed & tax paid (plus first payment on account)
- 31 January
- Second payment on account
- 31 July
Making Tax Digital quarterly updates
- Quarter to 5 July
- 7 August
- Quarter to 5 October
- 7 November
- Quarter to 5 January
- 7 February
- Quarter to 5 April
- 7 May
Limited companies
- Corporation tax payment
- 9 months + 1 day after year end
- Accounts to Companies House
- 9 months after year end
- Company tax return (CT600)
- 12 months after year end
- Confirmation statement
- At least annually
VAT & employers
- VAT return & payment
- 1 month + 7 days after each quarter
- PAYE/NIC to HMRC (electronic)
- 22nd of the following month
- P60s to employees
- 31 May
- P11D benefits forms
- 6 July
Guides
Short, practical explainers written in our own words — no recycled factsheet library.
Running a limited company
The filings, deadlines, and director responsibilities that come with a limited company — and how to keep them painless.
Read the guideBusiness structures: sole trader, partnership, or limited company
How the three main UK business structures differ on tax, risk, and admin — and how to choose between them.
Read the guidePreparing for your accountant
What to have ready before your accountant starts — and how good habits during the year make year-end faster and cheaper.
Read the guidePersonal tax & Self Assessment
Who needs to file a Self Assessment return, the deadlines that matter, and how payments on account actually work.
Read the guideVAT — a practical summary
When VAT registration becomes compulsory, which scheme to choose, and what Making Tax Digital means for your returns.
Read the guidePayroll basics for employers
What running payroll involves — RTI, auto-enrolment, employer costs, and the deadlines that keep you compliant.
Read the guideCharity trustees' responsibilities in Scotland
What OSCR expects of Scottish charity trustees — duties, accounts, external scrutiny, and the thresholds that changed in 2026.
Read the guideIncorporating your business
When moving from sole trader to limited company makes sense, what the switch involves, and the tax decisions that come with it.
Read the guideRather just ask?
Guides are general; your situation isn’t. A free consultation gets you an answer that applies to you.