Question re ISA27 Sep 2020 00:46
Hi Guys
Need some advice re ISA as this my first real go at share dealing.
Bought shares in WH initially at 1.30 then saw it drop away to 38p where I bought again. I’m now invested £7,500 at ave price of 91 pence. Was happy to make a few grand profit, take my profit and use it to pay for a holiday. So didn’t buy within an ISA
After Friday I find myself 18k in profit, So my account shows a total of 25,500....happy days more than I ever imagined.
I read about the bed and ISA way of transferring this into an ISA and maybe should have done this early last week however if I do this now, once this position is sold and bought back does that mean
1. I automatically become liable to pay CGT on the 6,000 profit (18,000 - 12,000 allowance)and the 20,000 will then be transferred into the isa with any future profit free., leaving the residual difference of 5,000 to go back into the share dealing account and be liable to tax when I sell, which seems unfair
2. Or can the whole 25,000 be sold and bought back Into the isa as my original investment was 7,500 ( I’m not thinking this is poss but asking anyway)
3. Or do I just sell share worth £20,000 buy back £20,000 to go into the ISA as the ISA max limit is 20,000
4. If doing number 3 how does it affect CGT on the difference left in the ordinary account
Am I making this overly complicated ? Any advice appreciated.
Have been reading this forum for months and find some really interesting comments, special mention to CJ who kept the faith when the price dropped from 1.60 down to 1.04 and was one of the reasons I have stayed in this share. Thanks hope hope you are making plenty.
GL all
Cheers