Can you move non-cash funds into an ISA?

edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings
5 replies 1.3K views
joujoujoujou Forumite
143 Posts
edited 30 November -1 at 1:00AM in ISAs & Tax-free Savings
Suppose you have 40K of shares in a normal non-ISA investment account.

How might one go about pushing it into an ISA, without selling?

e.g.

Now: move £15240 worth into the S&S ISA. Calculate tax due right now and inform HMRC. Profit is likely below the yearly CG limit.

April 2017: Move £20000 worth in the S&S ISA.

April 2018: Move the remainder?

Replies

  • dunstonhdunstonh Forumite
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    How might one go about pushing it into an ISA, without selling?

    You cant. It would involve a sale and repurchase. Bed & ISA is a common transaction. So, as long as the costs are worth it (usually nil with funds but can be dealing costs with direct holdings), then you bed & ISA.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • El_TorroEl_Torro Forumite
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    If you're selling and reinvesting into the same fund / shares then being in cash for a couple of days shouldn't matter too much.
  • jimjamesjimjames Forumite
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    If you have sufficient cash available then you could always do the buy and sell at the same time so effectively you aren't out of the market. If you have to wait for the funds to clear then you'd be out of the market for that number of days
    Remember the saying: if it looks too good to be true it almost certainly is.
  • lisyloolisyloo Forumite
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    Now: move £15240 worth into the S&S ISA. Calculate tax due right now and inform HMRC. Profit is likely below the yearly CG limit.


    You can't make up your own rules.
    HMRC specify when CGT is due and it's on sale not move/transfer.


    Personally I'd be relatively confident selling now as we're close to 52 week highs, but it's still a gamble.

    Do you have any parents who could lend you some money for a few days so you can buy/sell at the same time as jim suggests.
  • Eco_MiserEco_Miser Forumite
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    Ask your platform if they have special arrangements for bed & ISA - they might do the buy & sell simultaneously, so you're not out of the market, and for a lower fee (if transaction fees apply).
    Eco Miser
    Saving money for well over half a century

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