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bigduckontax
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 10401
Experience:  FCCA FCMA CGMA ACIS
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Ok. I just want to know what tax implications there might be

Customer Question

Hi
JA: Hi. How can I help?
Customer: Ok. I just want to know what tax implications there might be for withdrawal if 20k from investment bond and also being unemployed, please
JA: Have you talked to a tax professional about this?
Customer: Nope
JA: Anything else you want the Accountant to know before I connect you?
Customer: No
Submitted: 1 year ago.
Category: Tax
Customer: replied 1 year ago.
How much longer please
Expert:  bigduckontax replied 1 year ago.

Hello, I am one of the experts on Just Answer and pleased to be able to help you with your question.

Withdrawals of up to 5% a year are allowed for up to 20 years without incurring an additional tax charge.

If you don’t use your 5% allowance in a given year, the allowance is carried over to the following year i.e. if you make no withdrawals in year one, you could draw up to 10% the following year without incurring a tax liability.

Customer: replied 1 year ago.
Ok.but initial investment of 10k, policy now held for 20 years.
How does this tax liability work for someone on universal credit.
Expert:  bigduckontax replied 1 year ago.

The capital sum may affect your benefits

Customer: replied 1 year ago.
When can he call me
Expert:  bigduckontax replied 1 year ago.

I would like to talk, but from long experience I think you will find it easier to ring me. I am on 01750 725420.

Customer: replied 1 year ago.
How much tax, if any, would one has to pay, put simply?
Customer: replied 1 year ago.
On gains of 10k
Customer: replied 1 year ago.
never withdrawn before
Customer: replied 1 year ago.
That's y reached out to you. Also at what rate,. 20% or less ?? Thanks
Expert:  bigduckontax replied 1 year ago.

I cannot tell you without a lot more information.

Customer: replied 1 year ago.
Ok. Can we possibly speak over d phone tmrw , say midday, please
Customer: replied 1 year ago.
Live call is a zoom or face to face call right?
Customer: replied 1 year ago.
No, just normal call please
Expert:  bigduckontax replied 1 year ago.

No problem.