Are there any income tax implications if an NRI purchase different type of insurance policies (Example: Unit linked insurance Policy, Maturity policy, life insurance policy, Annuity insurance(including Bonus) plan, Pension plan etc.)?
Taxability of Insurance plans of NRI shall be governed by FATCA - US residents and CRS for the non-US residents. But TDS shall be applicable at the time of policy payout u/s 195 of the Act only if the policy is not exempt u/s 10(10D). Further, no tax will be deducted for countries where DTAA benefit is available as per section 90 of the of The Income Tax Act, 1961, and the customer has submitted complete & valid Form 10F and Tax residency certificate with the company.
Leave a Reply
Your are not logged in . Please login to post replies
CAclubindia
