Same gross pay, different Income Tax
If you live in Scotland you pay Scottish Income Tax on non-savings non-dividend income. England, Wales and Northern Ireland use the main UK rates of 20%, 40% and 45% with a basic-rate band of £37,700 of taxable income for 2026/27. Scotland uses starter (19%), basic (20%), intermediate (21%), higher (42%), advanced (45%) and top (48%) rates with different thresholds. The Personal Allowance of £12,570 and the £100,000 taper are UK-wide.
What this calculator compares
Enter a gross employment-style income figure. We estimate Income Tax in rUK versus Scotland and show the difference and notional take-home before National Insurance. NI is deliberately excluded because thresholds are UK-wide; including it would blur the regional Income Tax gap.
2026/27 Scottish thresholds (absolute income with full PA)
Published Scottish bands for 2026/27 (assuming standard Personal Allowance) run roughly: 19% from £12,571 to £16,537; 20% to £29,526; 21% to £43,662; 42% to £75,000; 45% to £125,140; 48% above. Always confirm on mygov.scot because Budget changes can adjust starter and basic widths.
When the gap is largest
Differences are often most visible in middle and upper-middle incomes where Scottish intermediate/higher rates diverge from the rUK higher-rate threshold. Very high incomes face Scottish top rate 48% versus rUK additional rate 45% on the top slice.
Dividends and savings
Dividend and savings rates are largely UK-wide constructs. Do not use this page to estimate dividend tax — use the dividend calculator instead.
Limitations
Blind Person’s Allowance, Marriage Allowance, Gift Aid band extensions and the £100k taper interaction are simplified. Educational only; not tax advice.
Why governments diverge
Scottish Income Tax is set by the Scottish Parliament on non-savings non-dividend income of Scottish taxpayers. Residence tests for “Scottish taxpayer” status are detailed — broadly, where your main home is during the tax year. Moving mid-year can create complex split outcomes; do not assume a postcode alone settles it without reading the statutory residence rules.
Starter and intermediate rates
Scotland’s starter rate below the rUK basic rate and intermediate rate slightly above 20% change effective tax on modest incomes. For some earners Scotland can be slightly lower; for others, especially through higher and advanced bands, Scotland is higher. Always compare on your actual gross, not on folklore.
Frozen UK thresholds
UK-wide freezes on Personal Allowance and rUK higher-rate threshold continue to drag more people into higher rates via fiscal drag. Scotland’s choices sit on top of that shared freeze for the allowance.
Employers and payroll
Employers operate different tax code / payroll treatments for Scottish taxpayers (S codes). If your employer has the wrong status, your in-year PAYE may be wrong even when the annual liability could be corrected later.
What to do with the difference figure
Use it for relocation conversations, contract day-rate negotiations and sense-checks of payslips — not as a filing figure. Student loans, pensions and salary sacrifice will move both sides of the comparison.
Extended example set
Try £25,000, £45,000, £75,000 and £130,000 in the form. You will usually see the gap widen in upper bands. Pair this page with the £100k tax trap calculator if you model incomes inside the personal allowance taper.
Welsh rates reminder
Wales can set Welsh Rates of Income Tax. In practice the main rates have often aligned with the UK main rates used for England and Northern Ireland. This tool groups England, Wales and NI together on that basis for 2026/27 educational comparisons. If Welsh rates diverge in a future Budget, update the model before relying on it.
Contractors and IR35
If you are taxed as an employee inside IR35, Scottish versus rUK rates follow your taxpayer status like any employment income. Umbrella payslips should show the correct regime. Off-payroll rules do not create a special Scottish band table of their own.
Marriage Allowance and other claims
Marriage Allowance can transfer a slice of Personal Allowance between spouses in basic-rate situations. Eligibility and Scottish interactions deserve a separate check on GOV.UK. Blind Person's Allowance also changes effective starting points. Neither is modelled here.
Using the results responsibly
A £200 difference on a comparison chart should not alone decide a house move. Housing costs, council tax, and earnings potential dominate. Use the calculator to understand payroll labels and Budget headlines with clearer numbers.
Take-home versus Income Tax
People often say take-home when they mean Income Tax only. True take-home also subtracts employee National Insurance, pension contributions, student loans and other deductions. Because NI is UK-wide, the Scotland versus rUK gap on a full payslip is mostly the Income Tax gap this calculator isolates. Still, quote full net pay carefully in negotiations.
Annual review habit
Scottish budgets can move starter and basic widths even when higher bands stay frozen. Bookmark mygov.scot each spring and refresh any spreadsheet you maintain beside this page.
Sources: GOV.UK Income Tax rates; Employer rates 2026 to 2027; mygov.scot current rates.