Withdrawal of funds from Stocks and Shares ISA and deposit to another new Cash ISA

Good afternoon, I would like to know if the following is permissible: This tax year (2023/24) I deposited 4,500 GBP into my flexible Stocks and Shares ISA account with provider "A". The account was opened back in 2018. A few months ago I withdrew all funds (over 20,000 GBP) from such Stocks and Shares ISA account, including the 4,500 GBP that I deposited this year. The account has now 0 balance. Can I now deposit 20,000 GBP into a brand new flexible Cash ISA account (with 0 balance) with another provider "B" without any issue or should I deposit up to 15,500 GBP in this tax year to the Cash ISA account? I do not have any other ISAs in my portfolio, other than the two I mentioned (an old S&S ISA and a new Cash ISA - both flexible). Kind regards

Hi alk_8,
As you have withdrawn all the funds already, and it is a different ISA.
It will only be the £15500 that you can now put in to the new account for 23/24.
Thank you. 

 

Good morning, So there is no difference even both accounts are flexible ISAs? If so, it is a bit contradicting, because in this thread (https://community.hmrc.gov.uk/customerforums/pt/5b2f4f99-aad0-ee11-a81c-6045bd0cee3e#05c50dc2-b7d0-ee11-9078-00224841f0d0) on the 3rd post, the "HMRC Admin 10" implies that the "flexibility" of ISAs does make a difference, and if so, my scenario above is permissible. Could you please kindly double-check and confirm which of the two applies? Thank you.

Hi alk_8

My colleague is correct, you can only put £15500 into the new ISA, as you have already utilised £4500 of your annual allowance in the old ISA, in the same tax year.

Thanks