Pre closure of ulip

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

29 June 2015 Paid total primum of Rs.200000/- @ of annual premium Rs.50000/- from 2007 to 2010 to Unit linked SBI Life pension cum insurance policy under Sec.80cc.As a senior citizen pre closed in May 2015 and received Rs.322000/- after detecting TDS @ 2%.How this total recipts will be considered for taxable income for the AY 2016-17.

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CA. Sunil Gokhale

CA. Sunil Gokhale (Expert)
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29 June 2015 The fully amount of Rs.3,22,000 will be taxable in FY 2016-17 if you have claimed deduction u/s 80ccc for the full premium paid earlier.

Querist : Anonymous

Querist : Anonymous (Querist)

01 July 2015 1.Pre closed after 8 years which is more than 4 years of lock in period.
2.Will it get exempted ref Sec 10(38).?
3. TDS also detected @ 2% . I can reclaim the TDS if my total income is less than base Tax limit of Rs.300000/- of senior citizen.

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CA. Sunil Gokhale

CA. Sunil Gokhale (Expert)
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01 July 2015 Pension plans are taxable even after completion of full term as per provisions of section 80CCC. However, you can claim exemption up to the exemption limit applicable to you.

Querist : Anonymous

Querist : Anonymous (Querist)

17 July 2015 As per Sec 10(10)D it is fully exempted since the premium paid is not more than 10% of the insurance cover.