Advice please: division of inherited stocks and shares ISAs

MAE2012

Probate has been granted and there are two beneficiaries - siblings, one of whom is the executor. Is it possible to divide any stocks and shares ISAs into two equal parts in each beneficiary's name or do they need to be liquidised and the realised money shared equally? I'd be grateful for any guidance from those who have already done this. Many thanks.

JGB1955

AIUI the ISA provider can be instructed to sell the investments, and either pay the proceeds to the administrator or beneficiary of the estate, or transfer the investments directly to them.  However, the investments would, at that point, lose their tax free ISA status.
see https://www.express.co.uk/finance/personalfinance/1171378/isa-isas-inherited-account-savings

getmore4less

If one of the beneficiaries wants the shares then they can be transferred to that person, often the cheapest option.

The  beneficiary can either pay for them or give up other assets if there are any.

Pick a day for the valuation that works for both parties.

Also note if one of the beneficiaries qualifies,
The surviving spouse or civil partner can inherit their ISA allowance.

relaxtwotribes

My late mother held shares with Hargreaves Lansdown, some in an ISA and some not so.  The equal beneficiaries were myself and two siblings.  HL were instructed to transfer one third of the shares each to two of the beneficiaries, in specie, with one third to be sold and distributed as cash to the third.  All was done straighforwardly.

MAE2012

Thanks to everyone who responded so swiftly. Really helpful. Just noticed I said the ISA could be liquidised, I of course meant liquidated!!! You all seemed to know what I meant though. Well done and thanks again.

MAE2012

relaxtwotribes said:

My late mother held shares with Hargreaves Lansdown, some in an ISA and some not so.  The equal beneficiaries were myself and two siblings.  HL were instructed to transfer one third of the shares each to two of the beneficiaries, in specie, with one third to be sold and distributed as cash to the third.  All was done straighforwardly.

This is particularly helpful. Many thanks.