I started investing this year so I’m still a bit new to all the different rules and I would like to check if my assumptions are correct.
I already maxed out my ISA and since April is still pretty far away I would like to add some money into the GIA account.
My understanding is that even in the GIA all the dividends and all the profits made after selling stocks are not taxable (and don’t need to be declared) up until the £12300 limit. Is this correct or am I missing something?
Profits up to 12300 and dividends up to 2000 I think.
Correct, and profits are not realised until you sell
Is this before other taxes?
For example if I invest in US dividend stocks I have to pay 15% of taxes when I get the dividends, is the £2000 limit before the 15% or after?
The £2000 is before tax I.e. gross dividends. On the gains you also need to bear in mind the threshold on proceeds:
If you make a capital gain you will need to report it to HMRC if: The total of your gains exceed your available Annual Exemption, or. The total proceeds are more than four times the Annual Exemption (for 2020-21 and 2021-22 this is £49,200 ).
15% are taken from your account by broker itself, so all your money in account are already reduced.