Isa cash limit doubt

Gonzalon

Hi,

I habe a question regarding the cash Isa limit. I know it is 5760 £ for this tax year. My doubt is regarding the interests generated by this isa account in this tax year, for example:
Assuming that i have opened a isa account this tax year and i have put 5760£ this tax year(i dont have any other isa account). Since my interests are going to be put in the isa account, next month I will go over the 5760£ limit. Is that ok or total amount put in the isa account + the interest generated by it must be below 5760¿

thanks for your help

rb10

Interest doesn't count towards the annual ISA limit, in the same way as transfers between different ISAs don't count.

It's only cash that you pay in yourself, from a non-ISA account, that will count.

Gonzalon

thanks rb10 for ur quick answer. then, you could open a isa account this tax year, pay in 5760£ the first month, and by the end of the year you could end up far above the limit (5875 for example, with an interest of 2%). Is that right¿

rb10

Gonzalon wrote: »

thanks rb10 for ur quick answer. then, you could open a isa account this tax year, pay in 5760£ the first month, and by the end of the year you could end up far above the limit (5875 for example, with an interest of 2%). Is that right¿

Yes, absolutely.

From 6th April 2014 (i.e. next tax year) you can either add your 2014/15 allowance to the same account (so have a balance of £11k+) or open a different account for that allowance to go into.