Full ISA Guide Discussion Area

rb10

Baldur wrote: »

The relevant requirement is with whichever provider the current tax year's subscription resides - partial transfers are only permitted for previous tax year's/years' ISA funds but current tax year's funds must be transferred whole and documented as such on the transfer form from the old provider.

Thank you.

So if the OP wanted to transfer £1000, then would s/he be able to choose whether this is the full £200 from this year + £800 of last year's (so any further subscriptions would be to the new account) or if the transfer was to all come from last year's subscription (so further subscriptions would go to the old account)?

Baldur

rb10 wrote: »

So if the OP wanted to transfer £1000, then would s/he be able to choose whether this is the full £200 from this year + £800 of last year's (so any further subscriptions would be to the new account) or if the transfer was to all come from last year's subscription (so further subscriptions would go to the old account)?

It is usually possible to choose but depends on two factors:

1. Does the old provider permit partial transfers?

2. Does the new provider accept partial transfers?

Conan

Baldur wrote: »

Yes, you have subscribed to your 2009/10 Cash ISA.
No - as per above answer.
Not applicable, for the above reason.
Yes - just complete your chosen new provider's ISA transfer form. You can also add the balance of your 2009/10 Cash ISA allowance after the transfer has taken place.

Thank a lot!
This sounds good to me and that's what I thought I knew when I considered transferring my ISA.
Then while on the online application for the Natwest eISA, among the other statements I am required to sign for this one:

Do you declare that you have not subscribed, and will not subscribe, to another cash ISA in the same tax year that you subscribe to this cash ISA?

But, according to your answer, I do have already subscribed to my 2009/10 ISA. The procedure requires me to first subscribe to this ISA, then to fill up the form to transfer that from the previous provider.

Will I be claiming the false if I accept and sign that statement?

Thanks again!

stphnstevey

Does anyone actually check that you haven't gone over the limit's? The onus seems to be on the individual?

You don't declare ISA's on Self Assessment. So it seem's to be only down to the individual's declaration on ISA forms. However I imagine if you were inspected by HMRC they could ask to see your ISA statements.

Baldur

stphnstevey wrote: »

Does anyone actually check that you haven't gone over the limit's? The onus seems to be on the individual?

You don't declare ISA's on Self Assessment. So it seem's to be only down to the individual's declaration on ISA forms. However I imagine if you were inspected by HMRC they could ask to see your ISA statements.

See http://www.hmrc.gov.uk/ISA/bulletin10.htm

m5rcc

Question: If I move my previous year's ISA's to one new ISA this year, will this use up this year's ISA allowance or not?

Am I right to assume that if I top it up with £3,600, only then will it use up my allowance?

Kindly advise. Thanks in advance.

Baldur

m5rcc wrote: »

Question: If I move my previous year's ISA's to one new ISA this year, will this use up this year's ISA allowance or not?

Am I right to assume that if I top it up with £3,600, only then will it use up my allowance?

If you transfer your old Cash ISAs in the correct manner, i.e. by completing the new provider's transfer form and letting the new provider arrange the transfer, this will not affect your 2009/10 allowance - the annual allowance only relates to NEW money being subscribed to ISAs.

m5rcc

As I thought...thanks!

Unangoni

Are ISA for taxpayers only?
I read somewhere that you can open an ISA account from age 16, but it didn't say whether that only applies if you are a taxpayer only.:rolleyes:

Baldur

Unangoni wrote: »

Are ISA for taxpayers only?
I read somewhere that you can open an ISA account from age 16, but it didn't say whether that only applies if you are a taxpayer only.

Cash ISAs have a minimum age limit of 16, for Stocks & Shares ISAs it's 18.

To be eligible to subscribe to an ISA, you have to be resident and ordinarily resident in the UK for tax purposes. You don't have to be a tax payer but the main benefit of ISAs is their ongoing tax-free status.