Scottish Income Tax 2025/26
The Scottish Parliament sets income tax rates and bands for non-savings, non-dividend income paid by Scottish taxpayers. For 2025/26 there are six bands:
| Band | Taxable income | Rate |
|---|---|---|
| Starter | £12,571 – £14,876 | 19% |
| Basic | £14,877 – £26,561 | 20% |
| Intermediate | £26,562 – £43,662 | 21% |
| Higher | £43,663 – £75,000 | 42% |
| Advanced | £75,001 – £125,140 | 45% |
| Top | Above £125,140 | 48% |
Use our Take-Home Pay Calculatorwith the “Scotland” region selected to see your exact net salary, the dedicated Income Tax Calculator for a band-by-band breakdown, or the standalone Scottish Income Tax Calculator for a Scotland-vs-rUK comparison.
Worked example: £40,000 salary — Scotland vs rest of UK
Both taxpayers receive the £12,570 personal allowance, leaving £27,430 of taxable income.
| Band | Scotland | Rest of UK |
|---|---|---|
| Starter 19% on £2,306 | £438.14 | — |
| Basic 20% on £11,685 (S) / £27,430 (rUK) | £2,337.00 | £5,486.00 |
| Intermediate 21% on £13,439 | £2,822.19 | — |
| Total income tax | £5,597.33 | £5,486.00 |
| Difference | Scottish taxpayer pays roughly £111 more than a rUK taxpayer on £40k | |
Note: figures exclude National Insurance, which is identical UK-wide. The Scottish gap widens significantly at higher salaries because the Higher rate (42%) bites at £43,663 — well below the rUK 40% threshold of £50,270.
LBTT — Property Tax in Scotland
Scotland replaced Stamp Duty Land Tax with the Land and Buildings Transaction Tax (LBTT) in April 2015. Standard 2025/26 bands:
- 0.0% on the first £145,000 (£175,000 for first-time buyers)
- 2% on £145,001–£250,000
- 5% on £250,001–£325,000
- 10% on £325,001–£750,000
- 12% above £750,000
Additional Dwelling Supplement (ADS):if you're buying a second home or buy-to-let property, you pay an extra 8% on the full purchase price (raised from 6% in December 2024). Try our Stamp Duty Calculator and select Scotland.
Worked example: £250,000 home — LBTT vs SDLT
| Slice | LBTT (Scotland) | SDLT (England/NI) |
|---|---|---|
| 0% to £125,000 (SDLT) / £145,000 (LBTT) | £0 | £0 |
| SDLT 2% £125k–£250k | — | £2,500 |
| LBTT 2% £145k–£250k | £2,100 | — |
| Total payable | £2,100 | £2,500 |
A Scottish home-mover saves £400 on a £250,000 home thanks to LBTT's higher £145k nil-rate threshold. The position reverses on higher-priced homes — LBTT's 10% slice starts at £325,000, well below SDLT's 10% at £925,000.
Student Loans — Plan 4 for Scotland
Scottish students on the Plan 4 student loan repay 9% of income above £32,745 (2025/26). This threshold is higher than Plan 2 (England/Wales, £28,470) and Plan 5 (England, £25,000), so Scottish graduates typically pay less in student loan repayments. Selected automatically when you choose “Scotland” in our calculators.
Council Tax in Scotland
Scotland uses Council Tax bands A–H based on 1991 property values. Each of Scotland's 32 local authorities sets its own band-D rate, with other bands set as fixed multiples. For 2025/26, the Scottish Government allowed councils to set their own rates after several years of council tax freezes. See our Council Tax Calculator to estimate your bill by band and authority.
Cities in Scotland
Dedicated city hubs with local Council Tax bands, average salary breakdowns and LBTT examples for typical local property prices: