Individual Savings Accounts (UK Finance Act 2013)

In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please re-read the article before attempting the questions again.

  1. A flat rate 20 percent charge is applied to which of the following?

  2. What ISAs can be opened by an individual each tax year?

  3. What happens regarding a person's existing ISAS if they go to live abroad?

  4. Junior ISAs can be opened for which children?

  5. For 2013-14 an individual invests GBP4,000 in a stocks and shares ISA. How much can also be invested in a cash ISA?

  6. For 2013-14 a parent invests GBP1,500 in a cash junior ISA on behalf of their child. How much can also be invested in a stocks and shares junior ISA?

  7. Which of the following investments can never be held within a cash and shares ISA?

  8. Which of the following ISA transfers is not permitted?

  9. Which individuals would be better off choosing a normal savings account paying gross interest of 2.90 percent rather than a cash ISA paying interest of 2.50 percent?

  10. Which of the following taxpayers could potentially benefit the most by investing in a stocks and shares ISA?