Term insurance premium as exps.

This query is : Resolved

Smrity (Querist)
Follow

06 June 2019 Dear All,

We want to know whether the premium paid on the term insurance of the Directors can be booked as expenses.

Amol S Joglekar

Amol S Joglekar (Expert)
Follow

06 June 2019 No. (For the income tax view point)
Yes (For accounting view point). This is normally debited to Director's benefits account

Smrity

Smrity (Querist)
Follow

09 June 2019 Thank for reply,
Can you please elaborate.....

Amol S Joglekar

Amol S Joglekar (Expert)
Follow

10 June 2019 so far as income tax act is concerned, the director's insurance expenses can NOT be claimed by the company as deductible expenditure. However, the company may pay the insurance premium and the same may be treated as remuneration to directors, if the terms of agreement between company and director so provide.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Tanuj Kumar Sharma

avulaandcopdrl 2023

Amit

Sameer

Choudhary

Subscribe Now

Term insurance premium as exps.

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

GST CONSULTANT

CA Final

Accountant

GST CONSULTANCY

Article Assistant