ISA Q&A

How much can I contribute to an Individual Savings Account (ISA)?

You can contribute up to £10,200 per annum per individual to an ISA. This means that a couple can save a total of £20,400 into an ISA annually. You can choose to subscribe up to £5,100 into a Cash ISA within the overall annual ISA limit of £10,200.

Can I, as a non resident British citizen, make a contribution to an ISA?

No, it is only possible for UK residents or Crown employees serving overseas to subscribe to an ISA. But if you have existing ISA plans and you subsequently move abroad you can still hold onto those ISAs and retain all the tax benefits.

Is there any tax to pay on assets held within my ISA?

There is no Capital Gains Tax within an ISA and any income drawn from an ISA is free of any Income Tax. All UK equity dividends are subject to a 10% tax credit but these cannot be reclaimed.

Can I cash in my ISA at any time?

Yes, you can sell your investments and take cash out of your ISA at any time without any tax consequences although depending on the ISA plan manager there might be a charge to pay. Simply check with us for ISA advice and possible charges.

Can I transfer my ISA to another provider if the investments within it fail to perform?

It is possible to transfer an ISA to another provider without losing the tax saving benefits, although the plan manager might impose an exit penalty. In addition, from 6th April 2008, it has also been possible to transfer funds from Cash ISAs to Stocks & Shares ISAs without impacting on your annual ISA subscription allowance.

I was born in New Zealand but I am now residing in the UK, can I set up an ISA?

Yes, as a UK resident and provided you are paying UK tax, you can hold an ISA.

What to do next

Read about the benefits and risks associated with an Individual Savings Account (ISA).

ISA Review Service: If you would like one of our qualified Brokers to review all your current ISA investments, without charge, please call us on 020 7337 0520.

Request our ISA Brochure: Read more about the Killik & Co ISA by requesting our free ISA brochure, electronically or by post.

ISAs explained: For further information about ISAs and tax free investments, please request your free copy of ISAs explained.