shares ISA - profit question!!

rockrat

hopefully a simple answer for somebody to help me with

if i invest in shares and funds via HL or iii in an iSA wrapper,

lets say example i have 10 x shares/funds worth £1k each at purchase and during the course of the year i sell 2 of them for a profit ....lets say i double them, so i have £4k returned to the ISA.
i understand this £2k pure profit will be tax free.. am i correct?

so, i now have £14k in this ISA in the same financial year, £4k is now cash after the above sell.

can i still re-invest this £4k into new shares/funds etc in the same year and if the same cycle repeated earn more proofit without any tax being paid?

hope i explained myself well.. i seem to not be able to find an answer to this

barak

rockrat wrote: »

.....so, i now have £14k in this ISA in the same financial year, £4k is now cash after the above sell.

can i still re-invest this £4k into new shares/funds etc in the same year and if the same cycle repeated earn more profit without any tax being paid?

Yes - as long as you leave your cash inside the ISA wrapper.

Remedy02

Interesting post.. what would happen if one was to withdraw the money from the ISA, I understand that it could not be put back in if the allowance was used up in the current tax year. However would there be any additional tax to pay or anything like that?

Thanks

Kavor

Remedy02 wrote: »

However would there be any additional tax to pay or anything like that?

No, there wouldn't be any tax to pay as the gains are tax free.