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Tax implications- 20 yr investment bond
cful679
Posts: 2 Newbie
Hi
Some advice from an IFA on the forum or someone who may have had this dilemma can hopefully help with this one.
I have money invested in a 20 year investment bond which is not performing as well as I believe the money could elsewhere, I understand the 5% pa rule tax free allowance, but I am only looking for growth currently.
If I was to take the encashment value and move it into a sipp with a different company would the value be classed as taxable income within that year?
Any advice welcome....
Some advice from an IFA on the forum or someone who may have had this dilemma can hopefully help with this one.
I have money invested in a 20 year investment bond which is not performing as well as I believe the money could elsewhere, I understand the 5% pa rule tax free allowance, but I am only looking for growth currently.
If I was to take the encashment value and move it into a sipp with a different company would the value be classed as taxable income within that year?
Any advice welcome....
0
Comments
-
It certainly won't be allowable earnings for tax relief in a pension.
As to whether there are penalties in cashing in the product then that would depend on the specific terms of that product.0
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