CGT allowance/ISAs
Discussion
You make a capital gain when you sell an asset (or dispose of it in some way) and the proceeds you make on the sale or disposal are greater than the amount you originally paid for that asset.
So, if you bought some shares for £20,000 in 2004 and sold them for £50,000 in July 2011, you will have made a Capital Gain on those shares of £30,000.
You will not be taxed on the ful gain of £30,000 because you are allowed gains of up to £10,600 for tax year 2011/12. You will be charged Capital Gains Tax on the remaining £19,400.
So, if you bought some shares for £20,000 in 2004 and sold them for £50,000 in July 2011, you will have made a Capital Gain on those shares of £30,000.
You will not be taxed on the ful gain of £30,000 because you are allowed gains of up to £10,600 for tax year 2011/12. You will be charged Capital Gains Tax on the remaining £19,400.
OK
But gains made on shares in a stocks and shares trading ISA?
Silly questions, I know, but just checking.
As a variation on a theme. How about shares I bought in 2004 which I transfer, not sell, to a value of my annual ISA allowance, in to a share trading ISA.
But gains made on shares in a stocks and shares trading ISA?
Silly questions, I know, but just checking.
As a variation on a theme. How about shares I bought in 2004 which I transfer, not sell, to a value of my annual ISA allowance, in to a share trading ISA.
Edited by ferrisbueller on Friday 1st July 23:39
Gassing Station | Finance | Top of Page | What's New | My Stuff