HMRC has issued guidance around when it will contact people who owe tax.

The authority was asked to clarify its rules around tax on ISAs . A taxpayer asked for guidance about what they would need to do as they had overpaid into their ISA account.

ISAs are tax-free accounts, where any investment growth or interest earnings are exempt from being taxed. But you only get this benefit as long as you deposit within your yearly allowance.

You can currently pay in up to £20,000 a year into ISAs, which can be divided between cash ISAs and stocks and shares ISAs.

The concerned saver told HMRC : "It's inadvertent and some of the money has been invested into shares so therefore I am not sure what to do at this point. I have contacted the ISA providers."

Nationwide says 'we are monitoring' a

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