ISAs

[Buck]

The tax on cash held in a S&S ISA is under consultation but they say only if it is 100% cash/money market funds. So, any funds held alongside stocks and shares wouldn’t attract a tax charge.

 

[Beebo]

The lady from accounts imposing 22% tax on cash held in stock & shares isa's will cost far more in bureaucracy than they will get from the tax

It’s scaremongering from the usual sources.

The decision to tax cash in a S&S isa is to stop people from using it as a loop hole, because the cash limit is now £12k.

There really can’t be many people who exhaust their full £12k cash isa every year, but are too nervous to put the remaining £8k in a very safe vanilla market tracker.

 

[SpokeyDokey]

It’s scaremongering from the usual sources.

The decision to tax cash in a S&S isa is to stop people from using it as a loop hole, because the cash limit is now £12k.

There really can’t be many people who exhaust their full £12k cash isa every year, but are too nervous to put the remaining £8k in a very safe vanilla market tracker.

The £12000 Cash ISA limit will only apply to under 65's - just to avoid any confusion in the thread.

 

[Beebo]

The £12000 Cash ISA limit will only apply to under 65's - just to avoid any confusion in the thread.

And anyone over 65 with a spare £20k per annum really doesn’t have much to worry about.

 

[kingrollo]

And anyone over 65 with a spare £20k per annum really doesn’t have much to worry about.

They do - you seen the waiting list for the 2027 pinarello dogma ?

 

[Drago]

And anyone over 65 with a spare £20k per annum really doesn’t have much to worry about.

Im not worried in in one sense.

Conversely, I didn't get to that position by being needlessly tax inefficient so a degree of worry, concern or diligence (delete to taste) is a healthy thing if the goal is to end the year in a better position than when you started.

IDSA'S sre becoming too much hassle for the returns involved, so I pulled out (paging @Fnaar !) earlier in the year. With one email my UK broker engaged his US NASDAQ contact and with the same cash I did better with SpaceX shares in a single hit than I could have done in 2 decades maxing out the same amount in ISA'S, for no additional grief. The calculated risk was probably no greater over the long term, although in the event it turned out to be a very tasty in-and-out job. Daughter #3 is an accountant and handles the other end for me.

And im not over 65.

The ISA changes have been subject of increasingly consistent rumours and speculation for some time. Market analysts have suggested for a while now that people are simply going to do other things with their money when this happens, and early indications are theyll be right with a vengeance. People are going to invest, but not in the manner this change is engineered to bring about. People are stratingmtk think that if theyre going to get bent over for the tax anyway they may as well invest properly and have the returns that make it worthwhile, or that the returns aren't worth the hassle of tax returns etc and will just bail from the market entirely.