Pls provide Flexible ISA


Now a follow up question for Trading212 to hopefully answer.

As these Flexi ISAs are coming in after the tax year has started, how are you going to calculate how much of our allowance will be flexible?

Thank you.

I’m not sure you understand (or maybe I don’t understand and have got something wrong). You can put £20k per year into ISAs. If an ISA is flexible you can take money out of the ISA during the year and then LATER in the SAME tax year put the money back into the same ISA and paying the money back into the ISA doesn’t count against your allowance. So if you withdraw £5678 you can later put up to £5678 into that ISA and it doesn’t count as part of your annual allowance


This is wrong (as I understand it but I could be wrong but I am pretty sure based on what I’ve read).

If you invest 12k then you have 8k of your allowance left (as you’ve said). If you withdraw £5k you still have 8k of that year’s allowance left. The following year you have another 20k allowance. You do not have 28k allowance the following year.

To explain:

In any tax year you have an allowance that sets the maximum that you can put into ISAs. However, IF you have a flexible ISA you can withdraw money from that during the tax year and if you then put that money back into the same ISA during that tax year that payment into the ISA doesn’t count as part of that years allowance. Thus you can put 20k per year into your ISA and it this tax year you could put 12k into your ISA and then withdraw 5k and if you put the 5k back into the same ISA during the same tax year (as you withdrew it) you will still have 8k of this year’s allowance left


You basically said I am wrong, then described exactly what I had already said.

That takes some skill. Bravo.

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sorry it quoted the wrong linie. This is wrong. You don’t have £15k allowance. You have 10k because you have already used 10k of that years allowance. What you also have is the ability to return the 5k to the same ISA. If it was part of your allowance you could put it in any ISA eg a cash ISA…