ISA Over subscription

EccyBoy

I have a cash isa of GBP2100 and have recently bought stocks and shares (inadvertantly) to a value of approx GBP7300 (against the GBP7200 subscription limit). Belatedly realising my mistake, I have removed approx GBP100 from the cash isa account.

My question, what will happen as a result of this error and my attempt to remedy? - I am aware that selling does not constitute a reduction in total subscription.

Thanks in advance.

Lokolo

You seem to have misunderstood a lot.

You are only allowed £7,200 MINUS any money in cash ISA. Therefore you were only allowed to deposit upto £5,100 into a Stocks and Shares ISA, you have over contributed to this.

Have you deposited £7,300 into Stocks and Shares or is this just its value at the moment? Its the amount that you deposit that counts towards allowance, not the value after gains.

dunstonh

have recently bought stocks and shares (inadvertantly) to a value of approx GBP7300

Are you sure? Most S&S providers would not let you exceed the ISA limit in a single transaction. Some providers allow you to pay £7200 net of charges which can allow you to go above £7200 but you dont say if that is the case or not.

Was your cash ISA purchased in this tax year? If so, how much was put in it?
Was your S&S ISA contribution net of charges or gross of charges?