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Interest Gained from ISA - is this included in your max allowance?

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FrankRizzo
FrankRizzo Posts: 240 Forumite
Part of the Furniture 100 Posts Combo Breaker
in Savings & investments
Hello,

If I max out this years ISA and I then gain monthly interest - is this allowed or should I keep my balance below the max threshold to allow for additional interest to remain within the limit?

Any help appreciated!

Thanks

Comments

  • Ayr_Rage
    Ayr_Rage Posts: 2,679 Forumite
    1,000 Posts Second Anniversary Photogenic Name Dropper
    Any interest, even that earned on a fully funded ISA, is free from tax, either when added to the balance or withdrawn.
  • eskbanker
    eskbanker Posts: 36,944 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    The £20K annual ISA allowance relates only to contributions, so ignore interest/growth.
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