Tax Return question

50Twuncle

Do OEICs have to be entered on tax returns ?
I know that ISAs don't - but OEICs are already taxed at 10% ....
What about income / growth earned from the OEICs ?

gadgetmind

While an OEIC can be held in an ISA they have little in common otherwise; one is a fund and the other is a wrapper.

Some OEICs pay you out as income and some as dividends. Check with the funds you hold to see which are doing what. You will have to declare the income and dividends. For basic rate tax payers, there is no more tax to pay on the latter but there is on the former.

You will also need to keep records of purchase prices for when you sell as you might have to pay capital gains tax.

Note that all this record keeping and reporting needs doing even for accumulation versions of OEICs.

jimjames

If you are a higher rate taxpayer you need to declare any income on your tax return regardless of source unless it is inside a tax wrapper such as an ISA or pension.

So whether a savings account or shares or OEIC if it produces an income you need to include it.

xylophone

http://www.hmrc.gov.uk/individuals/savings-income.htm re" Savings Income from UK Authorised Investment Funds (UK authorised unit trusts (AUTs) and open-ended investment companies (OEICs")