A short YouTube video by Ndubuisi 'Andy' Egwim (uploaded July 10, 2024) explaining that government bonuses paid into a Lifetime ISA are not subject to income tax, and that Lifetime ISA funds can be invested in a Stocks & Shares ISA — with a caution about investment risk and inflation. The speaker frames the guidance as informational, not personalized financial advice.
Are the government bonuses for a lifetime ISA subject to income tax? Thankfully, no. The government bonuses received for contributions to lifetime ISA are not subject to income tax. They are considered tax free incentives to encourage savings for retirement and of course, for buying your first term. Can I use the fund from my lifetime ISA to invest in stock and shares isa? Actually, yes, you can invest the funds within a lifetime ISA in stock and shares. Actually, this is not financial advice, but if you already bought your first house and you are holding the lifetime ISA as just for retirement, it might be best to hold it in stock and shares rather than cash because it will give you the opportunity to beat inflation. But remember, there is always risk in investing.
