Husbands, wives and civil partners can inherit their loved one’s ISA allowance thanks to the launch of APS 1 on 6th April 2015.
If your spouse/civil partner's had an ISA and passed away between 3 December 2014 and 5 April 2018, APS can increase your ISA allowance. Even if your spouse/civil partner left the funds in their ISA to someone else, you’ll still inherit the ISA allowance they’ve built up over the years.
It’ll transfer to you as an APS allowance, and will help your money go further by increasing the amount of interest you can earn tax-free. Your allowance will be the value of your spouse/civil partner's ISAs when they passed away. This includes interest they'd earned on them up to the date of their death.
In addition, from 6 April 2018, where the ISA investor dies on or after 6 April 2018, any ISA(s) held may remain tax-free (APS2), until the earlier of the following, when the account will cease to be 'a continuing ISA':
- administration of the deceased's estate is complete
- the ISA is closed
- 3 years after the date of death
The APS 2 allowance equals the higher of the value of the ISA(s) at the date of death or the value of the ISA(s) at the date the ISA(s) cease(s) to be continuing ISA.
How do I use my APS allowance with Skipton?
To use your Additional Permitted Subscriptions (APS allowance) with a Skipton Legacy Cash ISA, you just need to fill in the relevant form(s) below. If you’re at all unsure, please call us on 0345 850 1700.
The Legacy Cash ISA only allows APS, not your annual allowance, but as APS does not count as current year’s subscriptions you can open another Cash ISA (as long as you don't have one already in the current tax year).
If you already know how you’d like to use your APS allowance, please see the options below:
If you’d like to use your APS allowance with a Stocks & Shares ISA, your local Skipton Financial Adviser can take you through the options we offer through a range of providers.
Some common questions
As savings specialists, we’re fully up to speed with the APS allowance and Cash ISAs. Below are the answers to a few common questions, but if you’d like to talk things through with us, you’re very welcome to ask at a branch or call us – we’d be glad to help.
Get more details about the APS allowance from the BBA APS leaflet.