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Insurance Premium

Tax queries 998 views 11 replies

CA Pooja

114 Points Joined September 2009

Pls Tell me dat if LIC premium is paid by chq and date on the receipt of the premium paid is 31.03.2007.But Pass book is showing amount withdrawn on 3.04.2007.i.e.in FY 2007-08.Then wethr deduction u/s 80c can be taken for FY 2007-08

Replies (11)

Darshu

1580 Points Joined September 2007

No Pooja....

Deduction U/s 80 C can be claimed in F.Y.2006-07 only as the reciept shows 31-03-2007 as the date of payment of the premium...

CA.SKR

CA; CS-Final (One Group); DISA (ICAI); I

442 Points Joined August 2009

Originally posted by :Pooja
"	Pls Tell me dat if LIC premium is paid by chq and date on the receipt of the premium paid is 31.03.2007.But Pass book is showing amount withdrawn on 3.04.2007.i.e.in FY 2007-08.Then wethr deduction u/s 80c can be taken for FY 2007-08	"

Deduction u/s -80C for LIC premium will be allowed in the financial year in which receipt is issued by LIC. Accordingly, it will be allowed in FY 2006-07 and not in FY 2007-08.

Thanks

sachin cool

student

50 Points Joined July 2008

yes darshu is very correct.

CA Devanshi Gandhi (Ajani)

FCA DISA Mcom CIFRS & LLB

9060 Points Joined February 2009

allowed in 06-07

CA Nishant Chakrawarti

Audit MAnager

77 Points Joined January 2008

Deduction is allowable in FY 2006-07. becoz as per law the amount paid by cheque as on the last date will be allowed on that relevant year on which the cheque is presented SUBJECT to the payment. here ur cheque got cleared that means the SUBJECT to Condion is fulfilled so allowed in 2006-07.