ISA's for the family?

jimbo1958

Have just inherited £50,000.
Will get a £3000 Cash ISA for myself and my wife.
I have two children aged 18 and 20, one at school and one at Uni.
Is there any reason that they can't have an ISA each as well??
If the answer is yes would I need to make them a gift of the cash before they could open an ISA and would there be any tax implications for myself or them?

Sorry if this has been answered before........I had a look in the FAQ but couldn't find any answers.

TIA.

dunstonh

They are old enough to have one. You can gift an amount to them and it would only potentially come into play if both you and your wife died in the next 7 years and you had disposed of more than £275,000 of assets on your death.

In other words, dont worry about it.

jimbo1958

dunstonh wrote:

They are old enough to have one. You can gift an amount to them and it would only potentially come into play if both you and your wife died in the next 7 years and you had disposed of more than £275,000 of assets on your death.

In other words, dont worry about it.

Many thanks for that......was hoping that was the case. :beer:

Rikki

If you take an ISA out now before April 2006 you can take out a second ISA for the next tax year April 2006 to 2007. Giving you the potential to invest £6,000 per person tax free.

jimbo1958

Rikki wrote:

If you take an ISA out now before April 2006 you can take out a second ISA for the next tax year April 2006 to 2007. Giving you the potential to invest £6,000 per person tax free.

Cheers Rikki.