toisa to equity isa
Wed, 02/04/2008 - 07:42
In short yes.
On 6th April all PEP/TOISA/Mini Cash ISAs and ISAs become just ISAs. This means that cash based ISA such as a TOISA or Mini Cash ISA can be transferred into an invested ISA.
I use the term invested ISA rather than equity ISA deliberately as their are so many asset classes that you can now invest into within an ISA in addition to shares.
Exercise caution though because you cannot transfer back to cash. Although an invested ISA can hold cash temporarily for the purposes of investing if it holds cash for any length of time then HMRC will deduct income tax on the interest even though it is an ISA.
This is a one-way street.
Matt Pitcher is a wealth adviser at Towry Law Group and a Moneywise Ask The Professionals columnist
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In the next tax year will I be able to transfer cash that was originally in a Tessa to an equity isa (ie Tessa -> Toisa -> cash isa -> equity isa)?
Thanks for any advice.