Tax deductions on SV of insurance policy
Moiz Ali (7 Points)
17 November 2018nd in my revised return.
Moiz Ali (7 Points)
17 November 2018
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(195640 Points)
Replied 17 November 2018
Please clarify........ did you surrender policy after 5 years, but in FY 2015-16?
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(195640 Points)
Replied 17 November 2018
Write to insurance company for wrongly deducted TDS.
As for the policy purchased before April, 2012, TDS is required to be deducted only if premium paid is more than 20% of sum assured.
In this case if sum assured is 3.75 lakhs and premium PA is 50K, TDS liability doesn't arise.
Once TDS deducted, CPC will assess it as taxable income.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(195640 Points)
Replied 17 November 2018
Moiz Ali
(7 Points)
Replied 17 November 2018
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(195640 Points)
Replied 17 November 2018
If company can provide you letter clarifying wrongly deducted TDS, you can pursue matter with ITD with ease. Otherwise just try to convince IT authority; but revision of ITR not possible now to get refund.
Moiz Ali
(7 Points)
Replied 17 November 2018
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(195640 Points)
Replied 17 November 2018
TDS liability arises only if the surrender amount is taxable, but in your case its exempted u/s. 10(10D) of IT act.