Partial ISA withdrawal

mick08

I'd like to withdraw an amount from funds saved in a stocks/shares isa over past four years, the investment company have sent an email saying i could be subject to tax on the withdrawal.
Under what circumstances would that be, i'm not a higher tax payer, i'm looking to withdraw approx £10,000.

Thanks, Mike

Pincher

Dealing account instead of ISA, perhaps?

Draw down from a pension could incur tax.

Maybe it's a general form letter that covers all kinds of withdrawals.

xylophone

The OP states that he has a stocks and shares ISA.

He wishes to sell assets inside the ISA to realise £10,000 in cash.

This may incur dealing fees or may not, depending on the provider and the type of asset sold. However, a sale within an ISA should not give rise to any CGT liability, which seems to be the only "tax" relevant to the sale of such assets.

He wants the proceeds of sale remitted to his bank account - there should be no tax on such a remittance.

Mystified!

mick08

xylophone wrote: »

The OP states that he has a stocks and shares ISA.

He wishes to sell assets inside the ISA to realise £10,000 in cash.

This may incur dealing fees or may not, depending on the provider and the type of asset sold. However, a sale within an ISA should not give rise to any CGT liability, which seems to be the only "tax" relevant to the sale of such assets.

He wants the proceeds of sale remitted to his bank account - there should be no tax on such a remittance.

Mystified!

Thanks Xylophone, it may just be a generic e-mail not taking value into account, thought i was missing something, i'll go ahead with the transaction!

Pincher

I am trying to suggest forms of malfunction.

E.g. minimum wage admin clerk who cuts and pastes because they only had half a day looking at a training video, so an ISA is a vague and hazy concept.