How much can my client invest with National Savings and Investments in tax-free savings?
Currently, your client can initially invest 93,600 in NS&I tax-free products, or if they will be aged 50 or over before 5 April 2010 then they can initially invest 95,100 thanks to the new ISA rules that came into force on 6 October 2009. These rules will apply to everyone from 6 April 2010. You can find out more information about the higher ISA allowance here. Your clients can subsequently invest additional amounts tax-free as and when new Issues of Savings Certificates are made available and/or their ISA allowance starts again on 6 April each year. It’s also worth remembering that full values of mature Savings Certificates can remain invested tax-free. Your client may also invest 3,000 in each issue of Children’s Bonus Bonds for a child under 16 with no tax liability. The child can hold the investment tax-free until their 21st birthday, even if they become a tax-payer. There is a new issue of Children’s Bonus Bonds each time a new fixed rate is on offer.
