Life insurance premium

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This query is : Resolved

kripal (Querist)

13 June 2013 i do not paid my lic premium for last 2 year,,... but now i have paid total preimum along with late fee..

will i get exemption on total premium paid this year...

Also advise how much % i can take for AY 2012-13

Rupesh Jain

Rupesh Jain (Expert)

13 June 2013 as per new provison of income tax U/s 80c you can claim only 10% of sum assured of policy in a Financial year

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Silpa Agarwal

Silpa Agarwal (Expert)

13 June 2013 Deduction allowable from Income for payment of Life Insurance Premium (Sec. 80C).

(a) Life Insurance premia paid in order to effect or to keep in force an insurance on the life of the assessee or on the life of the spouse or any child of assessee & in the case of HUF, premium paid on the life of any member thereof under an insurance policy , ( other than a contract for a deferred annuity,) issued on or before the 31st day of March 2012 shall be eligible for deduction only to the extent of 20% of the actual capital sum assured.

(b) Life Insurance premia paid in order to effect or to keep in force an insurance on the life of the assessee or on the life of the spouse or any child of assessee & in the case of HUF, premium paid on the life of any member thereof , under an insurance policy , ( other than a contract for a deferred annuity,) issued on or after the 1st day of April 2012 shall be eligible for deduction only to the extent of 10% of the actual capital sum assured.

In your case since policy is of before 31st March 2012 , 20% of the actual capital sum assured will be allowed

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Ganeshbabu K

Ganeshbabu K (Expert)

13 June 2013 Yes,.

1) if you have taken policy before 1st april 2012 eligible for 20% of sum assured

2)if you have taken insurance on or after 1st april 10% of sum assured..

It seems you can take 20% of sum assured

Thanks & regards
Ganeshbabu k

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