ISA allowance 2014/15

trickydicky14

Just a quick question regarding my 2014/15 ISA allowance, I have some of this allowance in a cash ISA and some in a S&S ISA but as yet still have about 5K left to use up.


Question 1. Am I correct in saying as I have a fixed rate cash ISA for this year I can't open a second one to use this money up? (I know some would say with current ISA rates why would you want to)


Question 2. Can I just move the 5k in to my S&S ISA like now and just let it sit as cash until I know what I wish to invest it in 'this could be a week or it could be several months. Would it still be protected and just count towards my 2014/15 allowance.


Thank you for any advice.

Lokolo

1) The rules are a bit more complicated than that, but you can with the same provider, if they allow it. So you can have 2 ISAs with Provider A and contribute to both. Not all providers allow this though. Who is the ISA with? A regular on here will likely know if that provider allows it.

2) Yes. But any interest (unlikely to be any though) will be taxed normally.

Ed-1

Lokolo wrote: »

2) Yes. But any interest (unlikely to be any though) will be taxed normally.

No it won't. It's in an ISA and now cash in a S&S ISA is not subject to tax.

Lokolo

Ed-1 wrote: »

No it won't. It's in an ISA and now cash in a S&S ISA is not subject to tax.

Definately sure? I haven't kept up since they amalgamated everything, but previously any interest earned from cash was taxed inside a S&S ISA.

trickydicky14

Lokolo wrote: »

1) The rules are a bit more complicated than that, but you can with the same provider, if they allow it. So you can have 2 ISAs with Provider A and contribute to both. Not all providers allow this though. Who is the ISA with? A regular on here will likely know if that provider allows it.

2) Yes. But any interest (unlikely to be any though) will be taxed normally.

With regard to my cash ISA, it is with SANTANDER and I know i can't put more cash into it but could I open a second one with them for the remainder cash?

badger09

trickydicky14 wrote: »

With regard to my cash ISA, it is with SANTANDER and I know i can't put more cash into it but could I open a second one with them for the remainder cash?

No. Santander is not one of the (few) providers who allow you to spread your current ISA subscription over multiple products.

xylophone

You can add the cash to your stocks and shares ISA and hold it in cash if you wish.

If the provider pays interest it will be be tax free within the S&S ISA.

See http://www.hl.co.uk/charges-and-interest-rates

"Interest within Stocks & Shares NISAs, Cash ISAs and Junior ISAs is paid gross."