03 July 2016
A person had invest Rs.5 LAC in ICICI Prudential life line wealth single premium policy , encashment only after completion of five years.That matured in march 16 . Icici deducted 2 %( approx 14000 u/s 194 DA ) and paid the balance 7.7 lacs.how much amount will include in GTI..???
03 July 2016
Gross receipt of the maturity proceeds will have to be shown . Sum received under life policy is outside the purview of sec10(10), if the premium payable/paid in any of the years exceeds 20%/10% of the sum assured as the case may be during the tenure of the policy. So that full amount received is taxable. This is as like excess of 20%/10%, because premium paid can claim up to 20% /10% of the sum assured in the policy tenured under section 80C.
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