NISA Tsumitate and Growth Limits/Appreciation

[shoshinshagaijin]

Hi,

From https://www.retirejapan.com/nisa/
"The tsumitate section has an annual contribution limit of 1.2 million yen, and a lifetime contribution limit of 6 million yen. The growth section has an annual contribution limit of 2.4 million yen, and a lifetime contribution limit of 12 million yen. Both sections can be used, or just one."

I am trying to understand the yearly and lifetime limits for Tsumitate and Growth if it only affects the contribution or does it include possible gains/appreciation? In the statement above the limitations specifically says monthly/lifetime contribution but I want to confirm nonetheless.
I would like to confirm how the annual and lifetime limits for NISA (both Tsumitate and Growth) are affected if the investments appreciates.

Example
If you maximize the annual contribution limit for tsumitate of 1.2 million yen and the investment appreciates to 1.5M within the year (or any year),
What happens to the 300K appreciation?
Is it now part of the total 6M lifetime limit for tsumitate?

Or

If the total lifetime contribution limit for tsumitate of 6 million yen is hit and it and appreciate to 8M,
what happens to the 2M? Are all lifetime appreciation excluded from the limit and forever tax free?
Are you forced to sell it to maintain the 6M limit?
Will it be automatically be part of the General (non-NISA) account which is now taxable?

Thank you for any insights anyone can provide on this matter

[RetireJapan]

All the NISA contribution limits are for the money you put in. Once you put in that much you can't put in any more.

There is no limit to how much your investments can grow, and when you sell them they will be tax free.

Say you fill your NISA completely (18m yen), and the investments grow at 8% for 27 years. You would have 144m yen and owe nothing in tax.

[adamu]

a lifetime contribution limit of 12 million yen

It's actually 18 million, not 12.
Also check out the wiki article: https://retirewiki.jp/wiki/NISA

Also funny that you and this guy had exactly the same question at the same time
https://www.reddit.com/r/JapanFinance/c ... reciation/