CGT allowance/ISAs
CGT allowance/ISAs
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Discussion

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
Evening all,

If I have a stocks and shares ISA at the full allowance for the year, does that count as my capital gains allowance for the tax year also?

Eric Mc

124,044 posts

281 months

Friday 1st July 2011
quotequote all
Have you sold some assets and made a gain on the disposal?

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
Not yet

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
TFP said:
In a word, no.

They are allowances that are completely independent of one another.
Thanks.

Are all gains made on the funds deposited in to the ISA then tax free?

Eric Mc

124,044 posts

281 months

Friday 1st July 2011
quotequote all
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.

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
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.


Edited by ferrisbueller on Friday 1st July 23:39

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
Ish

So, I get a share certificate and send that to the bank. Can they then (and they suggested that thay can) not transfer that direct in to the share dealing ISA, assuming the value isn't in excess of the allowance?

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
From what you've said... I would only transfer my tax allowance, CGT wouldn't be a concern.

Edited by ferrisbueller on Friday 1st July 23:35

ferrisbueller

Original Poster:

30,045 posts

243 months

Friday 1st July 2011
quotequote all
Ok. Thanks.


Edited by ferrisbueller on Friday 1st July 23:40