Investments not in an ISA

[Deleted User]

John464 said:

Trying to get through on the helpline & webchat is hopeless
Anyone know if there is an easier way to declare your dividends to HMRC? address to write to?

You can add extra income on your personal tax account online - not sure if dividends are included in the extra income section (I don't have any)
https://www.tax.service.gov.uk/personal-account

masonic

The Personal Tax Account would be the best bet if you are declaring for the current tax year and the relevant section is there.

Otherwise you'll find a postal address at the bottom of this page: https://www.gov.uk/government/organisations/hm-revenue-customs/contact/income-tax-enquiries-for-individuals-pensioners-and-employees

I've always written to them in the past, but that was before the Personal Tax Account was launched.

DennisTenus

Does CGT apply when you sell an investment (outside an ISA) but don't withdraw the money from the account and maybe buy another investment with that money?
Assuming the gain takes you over the CGT threshold in this example

bowlhead99

DennisTenus said:

Does CGT apply when you sell an investment (outside an ISA) but don't withdraw the money from the account and maybe buy another investment with that money?
Assuming the gain takes you over the CGT threshold in this example

Yes, if you sell an investment you have made a 'disposal' and capital gains tax should be considered for that disposal event by considering how much you had paid for it and what you are now getting for it, producing a gain or loss. That gain or loss may or may not offset other losses and gains made on other transactions in the same year (or brought-forward losses of previous years), and is perhaps covered wholly or partially by your annual exemption for the first £12300 of gains.   

The fact that you didn't choose to put the proceeds in your personal bank account, and maybe let it sit around in your investment account for months or perhaps bought something else with it, doesn't mean you didn't make a gain, so yes 'CGT applies', though of course there may not be any tax to pay depending on how the numbers all shake out.

DennisTenus

Ok thanks, so a scenario. I have my full £12,300 exemption available.
Just for example, I bought shares for £1K and sell shares for £14K so make a gain of £700 over the threshold.
I also sell some shares that I bought for £1K but sell for £300. So loss of £700.
Does the loss cancel out the gain?

eskbanker

DennisTenus said:

Ok thanks, so a scenario. I have my full £12,300 exemption available.
Just for example, I bought shares for £1K and sell shares for £14K so make a gain of £700 over the threshold.
I also sell some shares that I bought for £1K but sell for £300. So loss of £700.
Does the loss cancel out the gain?

Yes.

DennisTenus

eskbanker said:

DennisTenus said:

Ok thanks, so a scenario. I have my full £12,300 exemption available.
Just for example, I bought shares for £1K and sell shares for £14K so make a gain of £700 over the threshold.
I also sell some shares that I bought for £1K but sell for £300. So loss of £700.
Does the loss cancel out the gain?

Yes.

If I had made a gain in my example, can any costs/platform charges be deducted from that as well?

ColdIron

Stamp duty (SDRT) and transaction costs to buy and sell - Yes

Platform fees to hold - No

VXman

Interesting thread that 'i hadn't really thought about having only recently got into investing and not sold anything yet.
CGT threshold of £12300 is per year I assume?
Does income tax come into this at all. I ask because I am not having to pay any income tax this year but may need to cash in all my investments to find a house purchase.

eskbanker

VXman said:

Interesting thread that 'i hadn't really thought about having only recently got into investing and not sold anything yet.
CGT threshold of £12300 is per year I assume?

Per tax year, yes.

VXman said:

Does income tax come into this at all. I ask because I am not having to pay any income tax this year but may need to cash in all my investments to find a house purchase.

No, CGT and income tax are unrelated, so not paying the latter has no effect on your liability for the former, and vice versa.