Investors using their full Isa allowance to invest in a property fund pay £80 a year in unnecessary tax, it has been revealed.
The Investment Management Association said that £1.6 million a year is paid to the taxman instead of to end investors.
"As we approach the Isa season, it is unfortunate that ordinary Isa investors are missing out on investing in tax-efficient funds, because these funds are not yet available on many retail platforms," commented Richard Saunders, chief executive of the Investment Management Association.
"We call upon all industry participants to facilitate the development of tax-efficient funds. Investors need to demand access and advisers need to press for launches."
Platforms and administrators must implement the necessary systems to ensure investors no longer pay an unnecessary tax on investing, Mr Saunders said.
The Investment Management Association works to improve the financial outcomes for customers, savers and investors.
Indeed, the Association Supports and promotes a commercially successful and growing UK investment management industry.
Isa investors pay unnecessary sum to taxman
Isa investors pay unnecessary sum to taxman
Tue, 18 Jan 2011
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