Income tax deduction

Is if life insurance?

If yes then its exempt u/s 80C
Life insurance stands for [EEE] which means premium exempt, interest on premium exempt and maturity amount also exempt.

It is a endowment policy

Yes, its exempt u/s 80C and sec 10(10D) the amount of premium as well as maturity amount.

Agree with @ Mayur Patil. (but Deduction and Exemption both would be allowed subject to Premium % with your Capital Sum Assured)

Upto what amount it is exempt?

Actual premium paid or 10% of sum assured whichever is lower.

If there's own disability or dependent disability or if person suffering from disease mention u/s 80DDB then above limit increases to 15%

Well Answered Mayur. [Just little addition to your answer, there is also 20% allowability slab if the policy has been taken before April 2012. It might be possible in case premium is still payable against that policy taken before April 2012; becasue of Long maturity period]

Well Thank you so much… Case one… What if I get maturity amount in installment? For Eg: I pay 1 lakh premium for 12 years From 13 to 17 years I get maturity value 4.8 lakh each per year… so what is the taxability. Case two.. what if I get maturity value fully? For Eg: I pay 1 lakh premium for 12 years 13th year I will get 24Lakhs… so what is the taxability. Premium paid is 1,00,000 Or 24,00,000*10% =2,40,000 So only 1,00,000 is exempt from TAX is it?

Yes, you can file an income tax return under section 80C and 80CCC. Accoding to that section, you can claim upto Rs 1,50,000 if your investment is in LIC, PPF, Mediclaim and others. The 80CCC is for deductions for premiums annulaly. If still you have any confusions related to tax deductions under section 80C, you may get your queries cleared.