windsordave

Hi all

My eternal struggle to beat the system continues ...

I have a couple of ISAa and PEPs in the UK. Now I understand that I have to declare them each year to the ATO and pay up on my tax for the growth in value of them over the year. My question is, if I cash them in, am I then still liable for some sort of capital gains tax on them? Or because I've been paying my fair share on their growth year on year is the wonga I get on exit from them all mine?

Thanks!
Dave

RRZ

My view would be that if you have been paying tax on the incremental (capital) gain every year - under FIF requirements - and this fully covers the gain then no further tax would be payable. FIF doesn't seek to double tax - it's just an infuriating way of bringing capital gains (realised or not) into your annual return.