Were Lifetime ISA withdrawal charges reduced for 2020/2021?

HM Treasury legislated for a temporary change in the LISA withdrawal charge between 6 March 2020 and 5 April 2021 (inclusive), reducing the charge from 25% to 20%.

This meant during this period, when withdrawing from a Lifetime ISA account holders only had to pay back any government bonus they had received, and not the full charge.

For the 2021/22 tax year, the withdrawal charge has reverted to 25%.

- Submitted on 9th Apr 2021

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