25 June 2008
1)I have been paying ever year Rs. 20,000/- for reliance insurance 2)Three years locking period after three years 3) I am an income tax assessee (salary income 35000000/-p.a)
If i will earn Rs. 120000/- after three years
If any tax liability on margin earnings
And please explain U/s. 10(10D) of IT Act Is applicable in my case
U can get Deduction u/s 80C for Life insurance premium paid (Subject to restriction of 20% of sum assured,if the premium is higher than 20% of sum assured)
And u/s 10(10D) U can get deduction on amount plus bonus recieved on Maturity of Life Insurance ploicy.But if any one or more premium paid exceeds 20% of sum assured then the entire amount is taxable...
CAclubindia
