Question: Can We Claim Spouse LIC In 80c?

How is LIC maturity amount calculated?

Maturity benefit would be equal to the Sum Assured + Bonus Amounts which have been received throughout the policy term + any Final Addition Bonus if declared.

Now whenever the death of the policyholder happens (even after the policy term), the nominee will additionally get the Sum Assured amount as the Death Benefit..

Can I show spouse LIC in 80c?

1. Tax exemption offered under section 80C on life insurance policies from LIC: If you have purchased a life insurance policy on or before 31st March 2012 in your own name or in the name of spouse or child, then up to 20% of tax deduction can be availed on the premium paid towards life insurance policy.

Is LIC taxable after maturity?

When the premium paid on the policy does not exceed 10% of the sum assured for policies issued after 1 April 2012 and 20% of sum assured for policies issued before 1 April 2012– any amount received on maturity of a life insurance policy or amount received as bonus is fully exempt from Income Tax under Section 10(10D).

Can I claim my wife as a dependent if she works?

You do not claim a spouse as a dependent. When you are married and living together, you can only file a tax return as either Married Filing Jointly or Married Filing Separately. You would want to file as MFJ even if one spouse has little or no income.

How much LIC premium is tax deductible?

Premium paid towards life insurance policies qualifies for deduction under Section 80C, up to a maximum of Rs 1.5 lakh a year. The gross total income gets reduced by the premium amount and, thus, reduces the tax liability.

Can I claim a tax deduction on premiums for my wife?

Tax deductions on payments towards health insurance can be claimed under Section 80D of the Income Tax Act. This deduction is available on premiums paid towards policies for self, spouse and dependent children. However, it does not extend to a health policy for the in-laws.

Can I show my parents LIC for tax exemption?

LIC Life Insurance Premium Life insurance premium paid by you for your parents (father / mother / both) or your in-laws is not eligible for deduction under section 80C. … Insurance premium paid for yourself, your spouse or your children is allowed as deduction under section 80C of Income Tax Act.

Is LIC maturity amount tax free?

As per Section 10(10D) of the Income Tax Act, 1961 the amount of sum assured plus any bonus (i.e. the policy proceeds) paid on maturity or surrender of policy or on death of the insured are completely tax free for the receiver subject to certain conditions.

Is LIC a good investment?

Is LIC Plan a good investment? Yes, LIC offers best life insurance plans. If you are looking for investment and protection option under one product, you can consider Endowment or Unit Linked Investment Plan (ULIP) as per your risk appetite and financial objectives.

How much money can a husband give his wife tax free?

1) Gifts up to Rs 50,000 in a financial year are exempt from tax. However if you receive gifts higher than this amount, the entire gift becomes taxable. For example, if you receive Rs 75,000 as a gift from your friend, the entire amount of Rs 75,000 would be added to your income and taxed at your slab rate.

Who can claim LIC deduction under 80c?

Apart from several other items provided under section 80C, a taxpayer, being an individual or a Hindu Undivided Family (HUF), can claim deduction under section 80C in respect of premium on life insurance policy paid by him/it during the year.

Is LIC included in 80c?

Life insurance premium payments can be claimed as deduction under Section 80C subject to a maximum limit of Rs. 1,50,000. The only condition is the premium must be less than 10% of the sum assured.

Is LIC exempt from income tax?

All tax exemption for payment of LIC premiums are offered as per section 80C of the Income Tax Act, 1961. Tax benefits on Life Insurance policies from LIC (under section 80C) : Let us look into the tax benefits that are received by customers under section 80C if they purchase a life insurance policy from LIC.

Is Section 80c removed?

Most of the commonly available deductions such as section 80C (investments made in PF, NPS etc.), 80D (payment of medical insurance premium), standard deduction of Rs 50,000 etc. have been proposed to be removed but here is one tax benefit that can still be claimed by the individuals under the proposed new tax regime.

How can I gift money to my wife to save taxes?

One cannot use a financial gift effectively to save tax. The amount received by a wife as a gift will be tax-free in her hands. One cannot use a financial gift effectively to save tax. The amount received by a wife as a gift will be tax-free in her hands.