Vineet Agrawal (Chartered Accountant) (39 Points)
02 November 2018
A B Kundu
(Professional)
(1422 Points)
Replied 02 November 2018
In general practice, LIC premium is treated as 'Drawings', hence deducted from the Capital Fund. If it is held as an instrument of investment then you can show this in the Asset side under the head Long Term Investment.
Nitesh bind
(Student CA Final )
(12692 Points)
Replied 06 November 2018
SANKU DUTTA
(Tax Professional)
(22 Points)
Replied 22 December 2020
My client has paid single premium toward LIC Policies of INR 404412 [3 policies] and on preparation of the computation the same has not been taken for deduction u/s 80C. Now my question is can I show the single premium amount [one time premium] in the asset side in the balance sheet.... Please suggest your valuable advise
Arun Sharma
(Proprietor)
(23 Points)
Replied 19 July 2021
As client paid for the premium which is tax free as per sec 80C.. You need to deduct it from your capital Account..
Thank you
Harshit Arun Sharma (CFA)
GST Live Certification Course (39th Batch) - April 2024 (Weekend Batch) (With Certificate)
"Live class on Python for Financial Analysis: Unlocking Efficiency in Accounting and Finance"
CAclubindia
