HI All
I had "ICICI Life Time Pension 2" Insurance, which i have surrendered after after 9 years 9 months. Is surrender amount received Taxable?.
Date of inception of insurance :05/Jan/2005,
Date of Full Surrender of insurance:17/Oct/2014
Eagerly looking for answers, Thanks in advance.
You will have to pay tax:
1- All the pension premiums that you have claimed, as part of deduction under section 80 in the past years is taxed as Income from other sources in the year of surrender.
2- The entire surrender value you have received (for the pension plan) will be added to your income and you will have to pay tax on it according to your tax slab.
Read more in detail in this Article.