Mr x had taken a housing loan from SBI. At the time of sanctioning Loan bank instistes him for Insurance policy.
So, my question is Can Mr. X Claim the deduction of U/s 80 C for Insurance Premium paid for that policy on bank loan.
Thanking You
Asit Panda
as per Section 80 C ; insurance shall include a policy of insurance on the life of an individual or the spouse or the child..
your question is not clear..normally we claim any life insurance policy premiums paid subject to conditions in 80C.
Deduction u/s.80C is available in your case...A life insurance policy is a life insurance policy and exists purely as a separate contract.
Yes, the assessee may claim deduction u/s 80C. This is more like a reducing term plan wherein the starting few years the sum assured is high and so is the premium, but as the years go by, the sum assured gets reduced along with the premium. It is sort of a collateral for the bank.
Yes ..I agree with Mr.Tarun Pandey
In certain cases, the bank may ask for an insurance policy on the life of the applicant, because if the applicant or borrower passes away, severe financial crisis befalls on the dependents of the borrower, and to mitigate the risk, bank ask for the insurance policy on the life of the applicant / borrower, so that in the even of the applicant passes away, the insurance claim proceeds can go to the bank reducing the pressure on the dependents.
Wait for more replies.
Dear Sir
I think you can not claim 80c against paid to loan insurance. Befor you see insurance document if its is show that 80 c Deduction is available then you can claim.
thanks
Ramanuj
house insurance premium is not deductible u/s 80 C
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