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View Full Version : Maturity Amount from SBI Life Insurance : Is it to be treated as Income for me?



NITESH009
31-08-2012, 01:57 AM
I have taken the Maturity Amount of 2.5 lacs from SBI Life Insurance.
1- Is it to be treated as Income for me?
2- Do I need to pay tax on it?

Expert
01-09-2012, 02:04 AM
I have taken the Maturity Amount of 2.5 lacs from SBI Life Insurance.
1- Is it to be treated as Income for me?
2- Do I need to pay tax on it?
Maturity Benefits are exempted Under Sec.10(10D) of the Income Tax Act.
Maturity benefits are tax free. However in cases where premium exceeds 20% of Sum assured in any year, benefits paid in excess of premiums paid will be taxable.

NITESH009
01-09-2012, 12:45 PM
Thanks a lot - Expert!