Tax on Investments

Income and gains from most types of investment carry a tax liability, including:

  • Bank and building society accounts
  • UK Dividends
  • Foreign savings and investment income
  • Buying and selling shares

The Government awards allowances against some types of investment, including the Personal Savings Allowance which can be set against the interest earned on cash investments – and the Dividend Allowance which can be set against dividend income.  Every individual also has a Capital Gains Tax Allowance that can be used to lessen tax on the sale of investment assets such as shares.

There are a range of tax-efficient investments available and, with tax legislation changing regularly, we will always plan to make your investments as tax-efficient as possible – optimising the available allowances whilst moderating any potential tax liability.

  • When looking at income-producing investments, we will make the most of your Personal Savings Allowance (PSA) for Income Tax (insert link to relevant page) which can be set against the interest earned on cash investments
  • We can maximise your Capital Gains Tax (CGT) allowance when buying and selling capital assets including investment assets such as shares
  • We will optimise your tax relief opportunities on pension contributions and help avoid potential heavy tax charges when accessing pension investments
  • We’ll mitigate your potential future Inheritance Tax liability with careful Estate Planning (insert links to both relevant pages)

In each case, any allowance will depend on your own tax situation and you should seek expert advice relevant to you.

Past performance is not a guide to future returns. The value of investments can fall as well as rise. Investors may get back less than invested.