Jaskarn Pawar gives a brief overview of the New ISA Allowance…
Every year the ISA allowance is increased in line with inflation, to the nearest £120 so as to make it easier for those paying in monthly to their ISA.
However, the inflation rate used is taken from September the previous year, and with inflation at virtually zero last year, the new ISA allowance has remained exactly the same as last year – £15,240.
Importantly, from this April you can now take money out of your ISA and put it back in before the end of the tax year without affecting your allowance for the year. This is a good move and allows people temporary access without having the break the tax benefits of having the money in the ISA.
Having briefly made ISAs pretty simple the Government has moved on from those heady days and regained the comfort zone of complication.
So we now have a NISA (which is either a Stocks and Shares ISA or Cash ISA to you and me), a Help to Buy ISA, Junior ISA, and soon a Lifetime ISA too.
For more information on this subject contact Jaskarn on 01604 211234
or email email@example.com