HDFC Life Principal withdrawal - Taxable or not?

Manoj Punjabi (Accountant) (243 Points)

29 July 2024  

Dear Friends,

If HDFC life insurance amount withdrawn fully, it is 7 lacs. Will it be taxable income? If not reinvested.

If same amount reinvested in Bank FD’s – then what? Will it be taxable??

Please guide.

How much will be the tax in both cases?