Jeevan saathi policy can wife claim deduction u/s 80c
This query is : Resolved
08 January 2013
LIC premium receipt is on name of husband for LIC’s Jeevan Saathi policy but not paid by husband. So can wife claim deduction u/s 80c against her income by producing that premium receipt along with letter from husband stating that he will not be claiming?
08 January 2013
If "Not paid by husband"- is taken as "paid by the wife", then she can definitely claim deduction U/s 80C. There is no need to state anything by the husband.
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08 January 2013
but is it ok that the receipt is in the name of husband?
09 January 2013
Deduction for insurance premium paid on the poilciy of family mmembers is available provided the same is paid out of the taxable income. The family member includes spouse be it the husband or wife. In the case of jeevan sathi it is a joint poilicy which covers the spouse, therefore the claim can be made by the person who has paid the poilicy premium amount. It is mandatory to be in the name of the person making the premium payment.
09 January 2013
I was told by the LIC agent that for the Jeevan saathi policy the premium receipt will always come in the name of husband regardless of who pays the premium. Is that true. If "YES" how to claim for tax benefit for wife. If "NO" then how to get the receipt in wife's name.
02 August 2024
Under Section 80C of the Income Tax Act, an individual can claim deductions for premiums paid on life insurance policies. Here's how it works for a policy like LIC's Jeevan Saathi, where the premium receipt is in the name of one spouse but the premium is paid by the other:
### **Claiming Deduction Under Section 80C:**
1. **Policy Premium Payment:**
- **Deductible Premium:** The premium paid for life insurance policies is deductible under Section 80C. The policyholder, i.e., the person whose name is on the receipt, can claim this deduction. However, if the premium is paid by a different person (like the wife), the deduction can still be claimed by that person provided certain conditions are met.
2. **Receipt in Husband's Name:**
- **Receipt Issue:** It is indeed possible that the receipt is issued in the name of the policyholder (the husband in this case) regardless of who makes the payment. This is often a practice followed by insurance companies.
3. **Claiming Deduction by Wife:**
- **Possibility of Claim:** Since the premium receipt is in the name of the husband, the wife cannot directly claim the deduction under Section 80C on her own if she is not the policyholder.
- **Procedure to Claim Deduction:**
- **Declaration from Husband:** The wife can potentially claim the deduction if she obtains a written declaration from the husband stating that he will not claim the deduction for the premium paid, and that the wife is entitled to claim it.
- **Proof of Payment:** Provide proof that the wife has indeed paid the premium, such as bank statements showing the transaction.
4. **Steps to Claim Deduction:**
- **Declaration Letter:** Obtain a declaration letter from the husband stating that he will not claim the deduction for the premium of the Jeevan Saathi policy.
- **Payment Proof:** Submit proof that the wife made the payment, such as bank statements or other payment confirmations.
- **Filing Tax Return:** While filing her tax return, the wife should include these documents to support her claim.
5. **Policy Issuance and Receipt:**
- **Policy Name:** If the policy is issued in the husband’s name, the receipt will naturally be in the same name. This does not necessarily disqualify the wife from claiming the deduction if the payment details and declarations are appropriately handled.
### **Summary:**
- The receipt being in the husband's name is not an issue if the payment was made by the wife. The key is to have proper documentation and declarations.
- The wife can claim the deduction under Section 80C if she has documentation proving payment and a declaration from the husband indicating he will not claim the deduction.
**Note:** It is always advisable to consult a tax professional to ensure all necessary documents and procedures are correctly followed, and to verify any specific requirements or changes in tax laws.
### **Claiming Deduction Under Section 80C:**
1. **Policy Premium Payment:**
- **Deductible Premium:** The premium paid for life insurance policies is deductible under Section 80C. The policyholder, i.e., the person whose name is on the receipt, can claim this deduction. However, if the premium is paid by a different person (like the wife), the deduction can still be claimed by that person provided certain conditions are met.
2. **Receipt in Husband's Name:**
- **Receipt Issue:** It is indeed possible that the receipt is issued in the name of the policyholder (the husband in this case) regardless of who makes the payment. This is often a practice followed by insurance companies.
3. **Claiming Deduction by Wife:**
- **Possibility of Claim:** Since the premium receipt is in the name of the husband, the wife cannot directly claim the deduction under Section 80C on her own if she is not the policyholder.
- **Procedure to Claim Deduction:**
- **Declaration from Husband:** The wife can potentially claim the deduction if she obtains a written declaration from the husband stating that he will not claim the deduction for the premium paid, and that the wife is entitled to claim it.
- **Proof of Payment:** Provide proof that the wife has indeed paid the premium, such as bank statements showing the transaction.
4. **Steps to Claim Deduction:**
- **Declaration Letter:** Obtain a declaration letter from the husband stating that he will not claim the deduction for the premium of the Jeevan Saathi policy.
- **Payment Proof:** Submit proof that the wife made the payment, such as bank statements or other payment confirmations.
- **Filing Tax Return:** While filing her tax return, the wife should include these documents to support her claim.
5. **Policy Issuance and Receipt:**
- **Policy Name:** If the policy is issued in the husband’s name, the receipt will naturally be in the same name. This does not necessarily disqualify the wife from claiming the deduction if the payment details and declarations are appropriately handled.
### **Summary:**
- The receipt being in the husband's name is not an issue if the payment was made by the wife. The key is to have proper documentation and declarations.
- The wife can claim the deduction under Section 80C if she has documentation proving payment and a declaration from the husband indicating he will not claim the deduction.
**Note:** It is always advisable to consult a tax professional to ensure all necessary documents and procedures are correctly followed, and to verify any specific requirements or changes in tax laws.
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