HMRC has warned ISA savers they may be hit with a charge if they overstep an important annual limit.

A person contacted the tax body over X to ask: “If I over deposited into my ISA (£4,000 over the £20,000 limit) would I be liable to pay taxes on any gains I made from that £4,000 within my stocks and shares ISA?”

Each individual can deposit up to £20,000 a year into ISAs. This can be split between cash ISAs, stocks and shares ISAs, innovative finance ISAs or a Lifetime ISA.

This type of…