Organising your ISA’s?

Enables’s IFAs in Bishop’s Stortford remind many of their investors to include ISA’s in their wealth management plans. Every year the Government gives us a tax-free Isa allowance, last year 2014/15 it was £11,880 between April and July, but this has now been boosted to £15,000 under the new Super Isa regime put in place.  You will also be able to move money from an investment ISA into a cash ISA under the new rules or put your whole allowance in a cash ISA. This applies to any money you have invested in previous years. But remember anything you have already put into an ISA for the 2014/15 tax year will already count towards the allowance.



This is where you might have to start thinking about tax. Any gains within an Isa are free from capital gains tax and everyone has a CGT allowance of £10,900 per year. If you have been investing consistently over time you may be surprised at how much these investments have become worth and holding them in a tax-free wrapper would makes sense.

If you opt to sell all or a large amount of your investments at one time and they are not held in an Isa, then they may be over the capital gains tax limit and liable to tax. Whereas, if you hold them in an Isa you will not be liable and will not even need to fill in a tax form if you sell. Income from investments is also treated in a more tax-friendly way in an Isa. Enable’s IFA’s can help you make the most of your ISA allowance.

Issued by: Enable Independent Financial Life Planners
25c North Street, Bishops Stortford, Herts CM23 2LD
Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

ISA allowance went up on 1st July 2014...

As many of you already know investors and savers now have a ‘new’ ISA allowance of £15,000 to invest since 1 July 2014. Effectively the new ISA allowance if for the current 2014/15 tax year so if you have already used some of your ISA allowance for this tax year, you will have to deduct that amount from the £15,000 allowance to se how much more you can use within the tax efficient wrapper until April 2015. The other new thing to consider is that you can use all the £15,000 allowance for just cash, or stocks and shares, or any mixture of both. Previously if you had an ISA allowance of £11,880 as an ISA allowance only £5,940 could be saved within a cash ISA.

Investors can also transfer freely between a cash ISA and a stocks and shares ISA or vice versa, while previously investors could only transfer from a cash ISA to a stocks and shares ISA, and not the other way around. There is now no difference between a cash ISA and a stocks and shares ISA, there is now just one allowance. The new rules also apply to all ISAs, even those taken out in previous years.
So all existing ISAs became new ISAs from July 1st, without the investor having to do anything.
Platforms have responded to Budget changes to the ISA regime by improving rates on cash and introducing new cash savings products. FCA rules published last month bar platforms from offering unbreakable term deposits of more than 30 days. If you want to look at maximising the tax efficiency of your savings Enable’s IFAs in Bishops Stortford are here to help.

Issued by: Enable Independent Financial Life Planners
25c North Street, Bishops Stortford, Herts CM23 2LD
Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE