Spouses inheriting their deceased partner’s Isa will no longer have to use their existing manager, the government has confirmed.
A nine-page HMRC document, Additional Permitted Subscriptions Following the Death of Account Holder, revealed a spouse would not be required to use the same Isa manager as their deceased partner.
In December 2014’s Autumn Statement, chancellor George Osborne announced rules allowing an Isa holder’s assets to pass to a spouse or civil partner on his death. This would be done using an additional Isa allowance from 6 April.
The document said: “If the surviving spouse does not wish to maker the additional permitted subscription to the manager of the deceased’s Isa, they can subscribe with a manager who agrees to accept responsibility for monitoring the additional permitted subscription limit.”
Adviser view
David Gibson, director of Londonderry-based Gibson Financial Planning, said: “More often than not, what the client wants changes after a bereavement. Sometimes the appetite for risk of someone on their own is different to that of a couple. So this change is a positive thing.”
