Scottish income tax bands 2026/27

Scotland tax bands for 2026/27 at a glance

You pay Scottish Income Tax if you live in Scotland. It is paid to the Scottish Government. These income tax bands in Scotland apply to wages, pensions and most other taxable income.

The table assumes the standard Personal Allowance of £12,570. The income ranges include that allowance; do not subtract it again before looking up your band. Your allowance reduces above £100,000, as explained below.

Source: GOV.UK: Scottish Income Tax.

How income tax rates in Scotland apply

Each rate applies only to the slice of income within its band. Moving into a higher band does not put all your income at that rate. Scotland tax brackets are another name for these bands.

Dividends and savings interest are taxed at the same rates as the rest of the UK. Do not use this table to work out tax on those types of income. National Insurance is also UK-wide. Scotland does not set NI rates.

Worked example: income tax in Scotland on a £40,000 salary

Assume your only income is a £40,000 salary and you have the standard £12,570 Personal Allowance. The calculation splits your salary across the Scotland tax bands:

• Personal Allowance: £12,570 × 0% = £0.
• Starter slice: £16,537 − £12,570 = £3,967; £3,967 × 19% = £753.73.
• Basic slice: £29,526 − £16,537 = £12,989; £12,989 × 20% = £2,597.80.
• Intermediate slice: £40,000 − £29,526 = £10,474; £10,474 × 21% = £2,199.54.

The slices add up to £12,570 + £3,967 + £12,989 + £10,474 = £40,000. Total income tax is £753.73 + £2,597.80 + £2,199.54 = £5,551.07. This is income tax only, not National Insurance. It is not a take-home pay figure.

Personal Allowance and tax thresholds in Scotland

The standard Personal Allowance is £12,570, the same as in the rest of the UK. It reduces by £1 for every £2 of adjusted net income above £100,000. Adjusted net income is the income figure used to check this reduction, after relevant adjustments.

At £125,140 the allowance is gone. You have no Personal Allowance if you earn over £125,140. If the reduction applies to you, do not assume the full £12,570 in the table remains untaxed.

Tax bands: Scotland compared with the rest of the UK

England, Wales and Northern Ireland use the following income tax bands for 2026/27 with the standard Personal Allowance. These differ from Scottish income tax on wages, pensions and most other taxable income.

Scotland has a starter and intermediate rate, and its higher rate starts at £43,663. The rest of the UK starts its higher rate at £50,271. The Personal Allowance taper applies in both systems.

See our UK tax thresholds guide for the wider reference. You can also open our salary calculator to explore salary deductions. Check that any calculation uses Scottish rates before relying on it for Scottish pay.