Matter of lic

This query is : Resolved

Guest

Guest (Querist)

20 April 2012 gud evening to all experts,
i received a maturity amount from lic. will this taxable on my total amount. or deduction
plz clear

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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20 April 2012
Maturity amount received from LIC is tax free.

However, maturity amount is taxable when the annual premium exceeds 20% of sum assured.
.

Example-
For a Sum Assured of Rs. 100000/- if annual premium payable is more than Rs. 20000, then sum received under a policy is taxable)
.

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