GigMath › Scottish Self-Employed Tax Calculator

Scottish Self-Employed Tax Calculator

Sole traders in Scotland pay Scottish income tax rates on their profit. Estimate your income tax, National Insurance and take-home pay for the 2026/27 tax year.

Updated October 2026 · Scotland · 2026/27

Your business

£
£

Salary from a job uses up your tax-free allowance first. Tax on it is assumed to be paid through PAYE.

Your take-home profit

£0

    2026/27 rates. Student loan repayments and pension contributions are not included.

    How self-employed people are taxed in Scotland

    If you live in Scotland, you pay Scottish income tax on your self-employed profit instead of the rates used in the rest of the UK. National Insurance is a UK-wide tax, so Class 4 NI is the same wherever you live. Both are paid through your Self Assessment return to HMRC.

    Scottish income tax bands 2026/27

    BandIncomeRate
    Personal AllowanceUp to £12,5700%
    Starter£12,571 – £16,53719%
    Basic£16,538 – £29,52620%
    Intermediate£29,527 – £43,66221%
    Higher£43,663 – £75,00042%
    Advanced£75,001 – £125,14045%
    TopOver £125,14048%

    Class 4 National Insurance

    6% on profits between £12,570 and £50,270, and 2% above that. Compulsory Class 2 contributions were abolished in April 2024.

    Example: with £40,000 of profit in Scotland you'd pay about £5,551 income tax and £1,646 National Insurance, keeping £32,803. In England you'd keep £32,868, so the difference is £65 a year.

    Watch the 42% higher rate

    Scotland's higher rate starts at £43,663, well below the £50,271 used elsewhere in the UK. Between those two figures, each extra pound of profit costs 42% income tax plus 6% NI, so it's worth timing big purchases for the business, and pension contributions, with that in mind.

    Take-home at common profit levels (Scotland)

    Frequently asked questions

    Do self-employed people in Scotland pay different tax?

    Yes. Income tax uses Scottish rates and bands (19% to 48%), but National Insurance is the same as the rest of the UK.

    What is the higher rate threshold in Scotland for 2026/27?

    £43,663. Income above this up to £75,000 is taxed at 42%.

    How much tax do I pay on £40,000 self-employed in Scotland?

    About £7,197 in 2026/27: £5,551 income tax and £1,646 Class 4 National Insurance.

    Sources

    This calculator gives estimates for planning only. It is not tax, legal or financial advice. Rules and fees change, so check the official source or a qualified professional before making decisions.