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Can I invest in US shares tax-free through a stocks and shares ISA?



  • Linton
    Linton Posts: 17,275 Forumite
    Name Dropper First Post First Anniversary Hung up my suit!
    FDa65rdk said:
    FDa65rdk said:

    Is there a period of time that has to elapse before another withdrawal can be made where the first 25% is not taxed?
    No, that's not the way it works.  You don't have to withdraw the full 25% tax-free sum all at once but it's a one-off.         
    If somebody wanted to withdraw the funds from the SIPP in two separate stages, does that mean that the 25% is not taxed on the first withdrawal but it would be taxed on the second?
    No - you can
    1) Get 25% of the total in one go
    2) Split up your pension and just take 25% tax free of one part.  The rest of that part is taxed.
    3) get 25% tax free of every drawdown you make.

    Generally the rule is you cant take a taxable part of a pension pot before you take the corresponding 25% tax free..  Well in theory you probably can but then you lose the 25% tax free benefit.

  • Albermarle
    Albermarle Posts: 22,832 Forumite
    First Anniversary First Post Name Dropper
    FDa65rdk said:
    You need to research pensions as a separate topic, away from your original question.
    Pensions: Everything you need to know for retirement - MSE (moneysavingexpert.com)

    Do you not have a current pension? related to your employment ?

    I have a teacher's pension which, to be honest, I haven't paid much attention to.
    I took a different role in education a few years ago and I need to check if the contributions go into the same pot as before.
    Teachers Pension is a typical very good Public Sector Pension, which is not an investment pot like a SIPP, but guarantees you a certain retirement income, based approx on your years of service and salary.
    Probably more of a priority to understand properly this pension, than dabbling  in US shares.
    You maybe be able to add more to it and get a better deal/higher retirement income. Although I am not sure about that as all public sector pensions have different rules.
    Pensions and retirement | Help with pensions and retirement | MoneyHelper
    Teachers' Pensions (teacherspensions.co.uk)
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