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  • I have two shareholdings I have held for several years, prior to PEPs and ISAs.

    Is there any way I can move these into a new stocks and shares ISA?
  • i have a isa account with halifax from last year i want to open another isa but with a bank or building society that offers the best interest rate i found that last year barclays offered more interest then halifax which annoyed me so when would be the best time to open an isa and whos offering the best interest?
  • ekim51
    ekim51 Posts: 1 Newbie
    can anyone enlighten me please. I have read somewhere that it is not viable to take out a shares isa unless you are in the 40% tax band as you already pay tax on any dividends earned.
  • david78
    david78 Posts: 1,654 Forumite
    ekim51 wrote: »
    can anyone enlighten me please. I have read somewhere that it is not viable to take out a shares isa unless you are in the 40% tax band as you already pay tax on any dividends earned.

    Basic rate tax payers effectively pay tax at 10% and Higher rate tax payers pay tax at 32.5% on dividends received from share-based investments held outside ISAs. 10% of this is paid "at source" before the net dividend payment is made. Basic rate tax payers have nothing further to pay; higher rate tax payers must pay a further 22.5%.

    For income earned on shares inside an ISA both basic rate and higher rate tax payers pay the 10% at source and nothing more.

    In the long run, there are benefits to basic rate tax payers in an ISA because they may become higher rate tax payers at some point, and of course there is the shelter from capital gains tax.
  • blackpear wrote: »
    I have two shareholdings I have held for several years, prior to PEPs and ISAs.

    Is there any way I can move these into a new stocks and shares ISA?


    I have the same query so if anyone can please post a reply it would be much appreciated

    Thanks
  • Just some advice needed.
    My mother has been investing in ISA's recently, however this year that took out a lump sum to invest in ISA as part of an ongoing agreement (however my mother had forgotten about this). So recently £2000 was taken out to invest in an ISA, this left her back account in arrears.
    To cut a long story short, can she end the £2000 ISA to put the money back into her account and put her account back into the black?
  • memsquared
    memsquared Posts: 12 Forumite
    I have the same query so if anyone can please post a reply it would be much appreciated

    Thanks

    I have some BT shares. Can I put them into a shares isa or do have to sell them??:confused:
    Thanks
  • ben1234
    ben1234 Posts: 15 Forumite
    Currently i have £5000 in Bradford and Bingley Cash ISA - only £20 or so has been used this year. I want to use £3600 of it (the limit) in the B&B 1 year fixed ISA. I have read the thread and im just clarifying that as long as i dont invest anymore in the old ISA that this is fine? i can keep both accounts? and will the original money left in the original account still get the same rate of interest -and will this therefore be taxed? Thanks
  • cheerfulcat
    cheerfulcat Posts: 3,336 Forumite
    Name Dropper Combo Breaker First Post First Anniversary
    memsquared wrote: »
    I have some BT shares. Can I put them into a shares isa or do have to sell them??

    You have to sell them first, then buy them back within a self-select ISA.
  • Beemer
    Beemer Posts: 8 Forumite
    I have around 10k an old ISA, over 3 years old now, and I want to move the money to use for other things; therefore want to remove the money (to put into a high interest savings account) as oppose to transfer this to another Cash ISA.

    Do I assume, as I couldn't see this anywhere, that once I withdraw/close the ISA that I will be taxed (in this case at 40%) on the total amount or is it only on the interest that is earned once it goes into a regular savings account?

    If it is taxed on the total then I am failing to see the point of this unless you always want to save and never use the money (agree with saving is good for you)?

    Any advise would be appreciated...

    Beemer :question:
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