These regulations mean that investment gains and income in the administration period of a deceased ISA owner are tax free. Do the regulations extend also to interest earned on a cash ISA?
Yes. Following death the exempt status of the ISA continues albeit for a limited period only and interest on a Cash ISA received by the PRs is exempt.
Malcolm Finney
What is the position if the ISA was not closed by either the PRs or the ISA provider after the expiry of 3 years and 1 day from the date of death Individual Savings Accounts (ISAs): If you die - GOV.UK. Is the ISA revalued at the 3 years and 1 day point and the gains/taxes calculated on crystallisation i.e. from the 3 years and 1 day to the date the shares are sold or is it from the date of death value to the date sold?