Pre maturity proceed of lic, if exempted, disclosure in itr.
Querist : Anonymous
I took out a ICICI Prudential LIP in 2008 having yearly premium of Rs. 20000. I paid the premium for 2008, 2009 & 2011. (Not paid in 2010). The premium payable is deductible u/s. 80C. Now i have prematured the policy in 2015 & received Rs.96540/- & since the amount recd is expempted u/s. 10(10D). I just wanted to know which amount to be shown as Exempted Income in ITR & why i.e.
a) Total Maturity Proceeds - Rs. 96540/-, or
b) Actual Earned Income = Total Maturity Proceeds - Total Premium Paid = 96540 - 60000 = Rs. 36540/-.
Incidentally the premiums paid by you too were tax free. In computing your taxable income, the premium paid was deducted. Therefore in the year of payment you had made payments from untaxed income. On maturity, you received the premiums paid (untaxed) plus revertionary bonus and other bonuses. Hence the entire amount froms part of your total income this year, but is exempt u/s 10 (10 D).
Querist : Anonymous
Click here to login now
Similar Resolved Queries
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Issuing of delivery challan by seller of goods
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Nursery business
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
