Clubbing of income on ULIP

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Hello Esteemed members,

I have come across multiple articles online which mention that if a husband transfers amount to a wife's account and if she subsequenty invests it in a PPF, then the maturity income is not clubbed in husband's income as PPF maturity amount is exempt from income tax.

Does this also apply to ULIP if I pay ULIP premiums for my wife under 2.5 Lakhs per annum?

Replies (3)
Quick Summary
This discussion explores whether income from Unit Linked Insurance Plans (ULIPs) invested by a wife, funded by her husband, is subject to income clubbing. It clarifies that if the ULIP premiums are under £2.5 lakh per annum, similar to PPF investments, the maturity income may not be clubbed with the husband's income due to tax exemptions on maturity amounts.

Yes, eligible ...                 

Thank you sir, that clears the confusion I have been having for so long !

The reason is same as the redemption amount is tax exempt in both.

Good luck...           

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