share isa !!

onfire2125

My wife and I have invested 27k in Santander Balanced Portfolio over the last 2 years and to date in has gone up by £1700. Since this is based on the price per unit what is the best way to take the porfit? And how can this be tax free if there is no interest or dividend payed. Is it only tax free if we sell the lot and claim the capital gains tax (which would be none) and then re-invest in the next tax year.

Mike confused

xrjtg

Santander should be able to tell you how much you can sell units for, so just sell enough of them to get £1700.

You're right that there would be no CGT to pay on such a small gain. In some circumstances there would be income tax due on dividends, or the interest on corporate bonds held, but they don't apply here, so the ISA wrapper isn't doing a whole lot of work.

If you've had the £27000 invested for the whole of the two years, then that's just above a 3% return after charges, which is pretty shocking and not much more than the best available savings accounts over that period. You should be able to do better if you transfer into different funds held elsewhere.

onfire2125

Thanks

I have found the exact figures now 8 march '10 £7200 then £20400 in this tax year. Total £27400. At todays price its worth £29339.32 so £1739 in less than a year. Has we all know it can go down as well as going up!!!