 Since the income is not taxable it did not count for age-related personal income tax allowance reduction when that extra allowance existed.Cash or investments held in ISAs are ordinarily subject to Inheritance Tax when the account holder dies, if their estate is valued above the IHT nil-rate band.Since August 2013 it became possible to hold AIM-listed shares in a stocks and shares ISA, some of which qualify for business relief; in this way a stocks and shares ISA portfolio consisting of these securities can be gifted without being subject to Inheritance Tax, provided the qualifying securities have been held for at least two years upon death.