CTF/Junior ISA

[bmwmike]

Hi

In June this year i opened a junior ISA for my two kids. Only picked a JISA because its easier to buy funds etc. There is not much in there, and i doubt they'll need the tax advantage but who knows.

Anyway, turns out the eldest has a CTF which i had forgotten about - so i've broken the either-or rule. Anyone know what i'm supposed to do about that? I will close one asap. We are talking about an overlap of about six months max and total combined value less than £6k.

Might be one for HMRC or perhaps just close out one asap..

Also does anyone have strong feelings on whether there is a better option for saving money for the kids on a 10 year (from now) timeframe?

Thanks
Mike

[BoRED S2upid]

Isn’t the rule that you can’t pay into both at the same time rather than you can’t have one of each?

Transfer the CTF into the isa and don’t worry about it.

[Helicopter123]

BoRED S2upid said:

Isn’t the rule that you can’t pay into both at the same time rather than you can’t have one of each?

Transfer the CTF into the isa and don’t worry about it.

This.

[Phooey]

Helicopter123 said:

BoRED S2upid said:

Isn’t the rule that you can’t pay into both at the same time rather than you can’t have one of each?

Transfer the CTF into the isa and don’t worry about it.

This.

I don't think a child can have a CTF *and* a JISA

[BoRED S2upid]

Phooey said:

I don't think a child can have a CTF *and* a JISA

So the OP just needs to transfer it and stop worrying.

[Skyedriver]

Just transfer the CTF to the JISA as above.
Opened a JISA some years ago and stuffed his meager CTF cash into it. Don't worry about the tax etc situations because by the time he/she is 18 the Govt. will have decided it's theirs. Either by just taking it away or deduction anything in it from any student loan/grant etc
Cynical, me?

[bmwmike]

Thanks everyone. AJB said I was to phone HMRC immediately. I was concerned I was setting up junior on a tax dodge and how this would be implicated in future. Awaiting the transfer forms so I can get into an honest path forthwith.

[BoRED S2upid]

bmwmike said:

Thanks everyone. AJB said I was to phone HMRC immediately. I was concerned I was setting up junior on a tax dodge and how this would be implicated in future. Awaiting the transfer forms so I can get into an honest path forthwith.

HMRC should have far more important things to be doing than worrying about your son dodging a bit of tax

I do wonder if you managed to get through to the right department or someone who knew about such matters what they would say.

[cloud_dog]

bmwmike said:

Thanks everyone. AJB said I was to phone HMRC immediately. I was concerned I was setting up junior on a tax dodge and how this would be implicated in future. Awaiting the transfer forms so I can get into an honest path forthwith.

AJB are correct in their assessment and advice. Contact HMRC and get it resolved. Assuming no new money went in to the CTF this FY I doubt there will be an issue.

[bmwmike]

From reading another thread I understand HMRC doesn't sanction the advice it gives via its own telephone and web services so I'm unsure what either way of the value calling them would give.

I've asked the ISA provider to transfer the CTF and close the CTF.