It is also worth noting that in the event of the death of child holding a Junior Isa there is no option to have a continuing account of a deceased investor while the estate is settled.

From date of death the Junior Isa wrapper is removed and the estate must deal with any taxes arising. 

Time limits

The APS can be made at any date from the date of death up to the time limits given below, depending on the form of the subscription.

Where the survivor is the beneficiary of the Isa assets, and they want to transfer these in specie the transfer from the deceased’s Isa must be completed within 180 days of the beneficial ownership passing to them. 

For cash subscriptions the APS must be used within three years from date of death, or if later than three years, within 180 days of the completion of the administration of the estate. 

The Isa death rules may seem more complicated than they need to be, but for couples with substantial Isa holdings the APS can still be a very valuable benefit.

Lisa Webster is senior technical consultant at AJ Bell