George

I am a basic rate taxpayer. In the tax year ending 2021, I believe the dividend allowance was £2,000. In that year, I received £2,000 in dividends and interest from savings of £1,485. Total income was £15,018, which is £2,518 over the personal allowance of £12,500 at the time. My calculations indicate that no tax would have been payable because the £2,000 dividend allowance would reduce the taxable income to £518 and this does not exceed the starting rate of £5,000. Is that correct? Thank you in advance for your reply.