Do I pay tax if I cash in my Prudential Flexible Investment Plan?

tapyeno

I have an FIP valued at £19, 883. My initial investment was £11 000 in 2011. I need to withdraw some of my investment plans now, but fear if I withdraw all the funds from this plan i would have to pay tax on it. Can anyone advise me if I'd have to pay tax and how it would be worked out. I receive pensions at present approx £40 000 before tax. Many thanks.

MarkCarnage

This is an investment bond not a pensions product. 
The normal tax treatment on these is that you can take out up to 5% per tax year of the amount originally invested without being subject to tax. Above that, and it would be subject to income tax at your marginal rate (which sounds like it would be basic rate for about the first £10k if  you are in England, and quite a lot less if you are in Scotland).