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Tax position of OEIC
fred_49
Posts: 9 Forumite
I have a question regarding funds that both produce dividend income and capital gains.
Would i be right in this thinking:
If I had £10000 invested in a fund that after 1 year produced dividend earnings of £500 and had grown in value to £11000 .
1. If I received the dividend earnings then no further tax would be payable as long as i remain a basic rate tax payer.
2. If I leave this dividend earnings in the fund then again no tax payable as in point 1
3.For capital gains purposes my initial investment is now £10,500 of a current fund value of £11,500
are these 3 points correct
Would i be right in this thinking:
If I had £10000 invested in a fund that after 1 year produced dividend earnings of £500 and had grown in value to £11000 .
1. If I received the dividend earnings then no further tax would be payable as long as i remain a basic rate tax payer.
2. If I leave this dividend earnings in the fund then again no tax payable as in point 1
3.For capital gains purposes my initial investment is now £10,500 of a current fund value of £11,500
are these 3 points correct
0
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