Dividends 02 - Dividends from authorised unit trusts and open-ended investment companies

You do not pay tax on the first £2,000 of dividend income you receive (the dividend allowance). You pay tax on dividends above the dividend allowance at the following rates:

• 7.5% on dividend income within the basic rate band
• 32.5% on dividend income within the higher rate band
• 38.1% on dividend income within the additional rate band

Include all of your dividend income, even if it's less than £2,000, as it will count towards your basic or higher rate bands and may affect the rate of tax that you pay on dividends received in excess of the £2,000 allowance.

Include dividend distributions from authorised unit trusts, open-ended investment companies, and investment trusts. Put the amount on your dividend voucher in this box. Include any dividend from accumulation units or shares that are automatically reinvested.

Do not include any 'equalisation' amounts.

If you think the information you are adding has an effect on your 6 April 2021 to 5 April 2022 or 6 April 2022 to 5 April 2023 PAYE Tax codes there is guidance to tell you how to let HMRC know of the change - If you think your code is wrong.