S&S ISA subscriptions for existing dividends in cash

SF21

Hello everyone,

The forums are really useful.

Just wondered if anyone knew the answer to this question?

I am already subscribed to an S&S ISA this tax year for new money, but have some dividends in cash built up in an old S&S ISA with a different platform.

The old S&S ISA platform wants me to sign a S&S subscription form that I am only using one S&S ISA in a tax year if I intend to reinvest in it.

Can I sign the form and reinvest in shares in the old ISA by just using the cash dividends within the ISA even though I am contributing to my other current tax year ISA for which I already signed an S&S subscription ISA form and am using new money?

Alternatively can I do a part transfer of the cash dividends from the S&S ISA to a cash ISA?


Thanks in advance for any help.

londoninvestor

SF21 wrote: »

Can I sign the form and reinvest in shares in the old ISA by just using the cash dividends within the ISA even though I am contributing to my other current tax year ISA for which I already signed an S&S subscription ISA form and am using new money?

Yes you can. Think about your old ISA as having a fence around it. What you can't do this tax year is move any money inside from the outside. But it's fine for activity to happen with the assets already inside the fence (i.e. stocks generating dividends and you investing them, or indeed selling some stocks and buying others).

SF21 wrote: »

Alternatively can I do a part transfer of the cash dividends from the S&S ISA to a cash ISA?

That too. There's another thread ongoing on this: here.