Join our community of smart investors

The IC guide to ISAs

The complete guide to Individual Savings Accounts (Isas)
The IC guide to ISAs

Key Points: 

  • An Individual Savings Account (Isa) is a wrapper that allows you to grow savings free of tax. 
  • You have an annual ISA allowance which is the amount you can add to the account in any given year - the current allowance is £20,000 (for 2020/21 tax year). 
  • There are different types of Isa but one allowance for all your accounts.
  • You have until the 5th of April each year to use up your ISA allowance - if you don’t it will be gone. 

Savers and investors take note. All of the money outside of your pension can be subject to taxes on profits and dividends. But the money in Individual Savings Accounts (Isa) is exempt from these taxes. That is why it is efficient to use up your allowance where you can. 

Isa tax benefits 

To continue reading...
REGISTER FOR FREE TODAY
  • Read 3 articles for free each month
  • Educational articles and topical investment guides
  • In-depth podcast episodes by our writers and industry professionals
  • Interactive live webinars on investment themes that matter
Have an account? Sign in