This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

account in parents' name

maths
Posts: 7537
Joined: Wed Aug 06, 2008 3:25 pm

Re: account in parents' name

Postby maths » Fri Jun 28, 2019 2:34 pm

It is not possible to hold an ISA on behalf of someone else (nor a joint ISA).

ISA income (eg interest) is not subject to income tax. The interest income belongs to the ISA investors, ie your parents, not you.

Depending upon all the circumstances if it's clear that you did not intend the monies to be a gift and your parents agree then any return of the original monies (excluding interest) is tax neutral. If parents choose to pass on any interest to you that element would be a gift on their part.

someone
Posts: 371
Joined: Mon Feb 13, 2017 10:09 am

Re: account in parents' name

Postby someone » Fri Jun 28, 2019 8:37 pm

I'd agree with Maths. Looks more like an interest free loan to me.


Return to “Inheritance Tax, IHT, Trusts & Estates, Capital Taxes”