05 June 2014
sir/madam, please let me know wether in case of sole proprietor life insurance premium paid can be treated as investment in his books of accounts? and what be its treatment u/s 80c .
05 June 2014
the paid up value may be shown as investment in the books of proprietor. (The conservative approach suggests that you show the investment at surrender value rather than paid up value) 80C shall not have any effect in books of accounts. It is for the income tax computation purpose only.
CAclubindia
