Iii

gowgowuk

Hello,

I am quite confused now. This is the first year for which I have some funds outside my ISA, so, I just received a TCV too. I thought that I wouldn't need to worry about tax until the time I am selling these funds, but maybe I haven't done my homework properly. I am a basic taxpayer and always paid my tax via PAYE (and therefore never filled a tax return!). Can someone be kind enough to confirm that as a basic tax rate payer, I should not worry about this certificate? The amounts on there are fairly small (<£500).
The other question: I am also confused by the fact that in the details, I can see that some accumulation funds have an income attached to them. For example, Vanguard Japan Stock Index Acc GBP or Vanguard Pacific ex Japan Stock Index Acc GBP. Is this normal?
Sorry if this has been answered elsewhere.....

musehead

Thanks for highlighting the missing commission payments on the CTV, i'd missed it and have now resubmitted my tax return to include them!

Nocto

gowgowuk wrote: »

Hello,

I am quite confused now. This is the first year for which I have some funds outside my ISA, so, I just received a TCV too. I thought that I wouldn't need to worry about tax until the time I am selling these funds, but maybe I haven't done my homework properly. I am a basic taxpayer and always paid my tax via PAYE (and therefore never filled a tax return!). Can someone be kind enough to confirm that as a basic tax rate payer, I should not worry about this certificate? The amounts on there are fairly small (<£500).
The other question: I am also confused by the fact that in the details, I can see that some accumulation funds have an income attached to them. For example, Vanguard Japan Stock Index Acc GBP or Vanguard Pacific ex Japan Stock Index Acc GBP. Is this normal?
Sorry if this has been answered elsewhere.....

As long as you’re a basic rate tax payer and any dividends you have received haven’t put you into the higher rate of tax (40% band) you don’t owe any tax. If you’re not sure, or you think you might be close to the higher tax band I’d give the inland revenue a call. I’ve always found them very helpful in the past.

From next tax year (2016 - 17) I understand that you will be able to receive up to £5,000 worth of dividends before owing any additional tax, regardless of your marginal tax band.

I would imagine that if say your income is £25,000 a year and you received £500 worth of dividends they won’t ask you to complete a tax return as you don’t owe anything. But if you earned £35,000 they might send you a tax return as you’re getting closer to the higher rate…

I hope this makes sense.


Accumulation funds can still generate income (dividends or interest) on which you would owe tax if you’re in the higher bands, they just don’t pay it out to you - it accumulates within the fund (increasing the value of your units) and the fund manager buys more shares or bonds with it.

gowgowuk

Thanks, Nocto, that's very helpful

xylophone

naturally I have made this clear but their (prompt, I must admit) reply refers to a transfer from a broker and contacting that broker again after two weeks.....

Someone at II has now read the form and observed that the request is for a partial transfer from a forty day notice cash ISA - I am now asked whether the transfer team should wait for forty days before sending the request........

I have sent a message to explain that the transfer team should send the transfer request to the other providers who should comply forty days from the date of their receipt of it.

Here's hoping for the best...

juliamarsh

xylophone wrote: »

Someone at II has now read the form and observed that the request is for a partial transfer from a forty day notice cash ISA - I am now asked whether the transfer team should wait for forty days before sending the request........

I have sent a message to explain that the transfer team should send the transfer request to the other providers who should comply forty days from the date of their receipt of it.

Here's hoping for the best...

Do you have a death wish?!?! You know this is all going to end in tears.......

Just make sure Interactive Investor makes it clear that you wish to comply with the 40 day notice period and doesn't go and ask for the money straight away resulting in you getting clobbered with a penalty....you have to spell out every basic little thing to them however obvious and simple it might seem!!

xylophone

Do you have a death wish?!?! You know this is all going to end in tears.....

..

I'm trying to be bold......:)

juliamarsh

xylophone wrote: »

..

I'm trying to be bold......:)

I have just watched a video of 'Devil's Pool' that you can swim in, right on the edge of Victoria Falls........

juliamarsh

Allots wrote: »

On my CTV they have included "equalisation" payments for holdings purchased 4 years ago!!! I understand that the production of CTV was outsourced by II. Who are these clowns!

I sent them a message this afternoon a) pointing out that the commission rebate payments and associated tax had been omitted, b) asking why 2 of my holdings which had been transferred in specie from HL and that I had held for years with no new purchases had been classed as Group 2 and had equalisation payments and c) requesting that in future years certificates could be provided within an acceptable time frame. I suggested that for them to arrive by the end of May would be reasonable - impossible for III no doubt although most other companies seem able to manage it.

le_loup

juliamarsh wrote: »

I suggested that for them to arrive by the end of May would be reasonable

Did you suggest the year?