Lic
This query is : Resolved
16 October 2015
Where do we show consideration for annuities granted in revenue a/c of lic???
Amol S Joglekar
(Expert)
16 October 2015
Final Accounts – Credit Side Items:
1. Life Assured Fund: The difference between total receipts and total expenditure of a life insurance company is not profit but is a reserve with which the net liability will be compared when ascertained. The name of this reserve is Life Assurance Fund. Life Assurance Fund appears as the first item on the credit side and it is carried forward from the previous year.
2. Premium: It includes the premium received or yet to be received for the relevant year less any premium paid or to be paid on re-insurance plus the bonus in reduction of premium.
3. Considerations for Annuities Granted: Any lumpsum payment received in lieu of granting annuity is called consideration for annuities granted.
Annuity is an annual payment made by an insurance company to any person, in consideration for a lump sum of money received in the beginning. The payment is made by the insurance company as long as one lives.
1. Life Assured Fund: The difference between total receipts and total expenditure of a life insurance company is not profit but is a reserve with which the net liability will be compared when ascertained. The name of this reserve is Life Assurance Fund. Life Assurance Fund appears as the first item on the credit side and it is carried forward from the previous year.
2. Premium: It includes the premium received or yet to be received for the relevant year less any premium paid or to be paid on re-insurance plus the bonus in reduction of premium.
3. Considerations for Annuities Granted: Any lumpsum payment received in lieu of granting annuity is called consideration for annuities granted.
Annuity is an annual payment made by an insurance company to any person, in consideration for a lump sum of money received in the beginning. The payment is made by the insurance company as long as one lives.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- "Please ensure that the Total of the Deductions u/s 54F match the same in Table D in Sch CG"
- Need to correct "Whether it is last installment " response in Form 26 QB
- " Income from House Property " in joint names of co-owners
- REGARDING TDS RETURN OF FORM 27Q
- Notice under e-Verification Scheme
- GST demand notice for ITC reversal against exempted supply.
- RCM ON SECURITY CHARGES FROM INDIVIDUALS
- How to get money back from delisted company
- ITC not to be taken in accounts & GSTR-3B
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
