Flexible Cash Isa: Can you pay back into previous tax years?

Sun-Is-Fun

In the 2024-2025 tax year I had 20k in a flexible ISA with Chip. Withdrew 12k, leaving 8k left at the end of that tax year. Can I replace the 12k from that tax year or is it limited to the 8k?

Thanks.

friolento

In any current tax year, you can pay back everything you have withdrawn in that particular tax year. It doesn't matter when the money was initially deposited.

If you do not pay back by the end of the tax year in which you have withdrawn, your withdrawn money has lost its ISA protection.

Sun-Is-Fun

friolento said:

In any current tax year, you can pay back everything you have withdrawn in that particular tax year. It doesn't matter when the money was initially deposited.

If you do not pay back by the end of the tax year in which you have withdrawn, your withdrawn money has lost its ISA protection.

Thanks, so I won't be able to pay back the 12k into last tax year's flexible isa (even though I had 20k in at one point)?

slinger2

Sun-Is-Fun said:

friolento said:

In any current tax year, you can pay back everything you have withdrawn in that particular tax year. It doesn't matter when the money was initially deposited.

If you do not pay back by the end of the tax year in which you have withdrawn, your withdrawn money has lost its ISA protection.

Thanks, so I won't be able to pay back the 12k into last tax year's flexible isa (even though I had 20k in at one point)?

No. You won't be able to "replace" the £12k you withdrew. And that's true whether your ISA was flexible or not. Of course you've got a new £20k allowance for 2025/26. So you could put £12k in (if the T&Cs of the account allow it, and you haven't used your allowance elsewhere) but that would count as part of your 2025/26 allowance.

friolento

Sun-Is-Fun said:

friolento said:

In any current tax year, you can pay back everything you have withdrawn in that particular tax year. It doesn't matter when the money was initially deposited.

If you do not pay back by the end of the tax year in which you have withdrawn, your withdrawn money has lost its ISA protection.

Thanks, so I won't be able to pay back the 12k into last tax year's flexible isa (even though I had 20k in at one point)?

There is no legal limit for how much you can withdraw from a flexibe ISA. Say you have a flexible ISA with £50k in it, you can withdraw the lot and then replace the lot into the same ISA in the same tax year, without impacting your allowance for the current year.

However, some providers have put some limits on their flexible ISAs. For example, they migh only allow a maximum of 10% of the total ISA balance. You need to check the T&Cs of your ISA, and possibly reconfirm with your ISA provider that you have understood their terms correctly.

Sun-Is-Fun

Thanks for your replies. I live and learn.