Effective Product Positioning Under New Tax Laws FY 2023-24

Traditional Life Insurance policies issued on or after 1st

April 2023 with an aggregate annual premium exceeding ______

will not be eligible for a tax exemption under

Section 10 (10D)

• 5 lakh

• 3 lakh

• 2.5 lakh

• 10 lakh

Death benefit remains tax free for all policies including traditional savings plans under all circumstances True or false ??

• False

• True

Customer having Multiple policies

(with same or different insurers) Policy 1 of 5 lakh ,Policy 2 of 5 lakh ,Policy 3 of 5 lakh

how many policies will be taxable ?

• any one policy

• any 2 policies

• all 3 will be taxable

Under pension product how much is the tax free withdrawal possible after vesting ??

• 40%

• 60%

• total 100% tax free

5. Which plan options comes under New taxation under 10 (10d) ?

• All savings plan with term plan

• All savings plan with term plan with ROP

• All savings with ULIP plans

• All savings plan with term plan with ROP and riders

If customer is payor in two policies where he is the propser in one policy and his wife is the proposer in second policy with 5 lakhs premium in each policy, Is the policy becomes tax free or not?

• TRUE

• FALSE

Customer is payor in two policies - i. Policy 1 : where he is proposer with Rs.5 lakhs  ii.Policy 2: where he is proposer with Rs.5 lakhs and minor son is LA at inception (later minor son becomes policyholder at payout)...One of the two policy’s
proceeds will be
tax free
Proceeds of other
policy will be taxable

• TRUE

• FALSE

Policy proceeds means??

• Regular Income

• Surrender Benefit

• Death Benefit

• ALL the above

Policy proceeds in excess of premiums (only gains) from traditional savings plans will be taxable if annual premium > ₹ 5 lakhs

• True

• False

Buying policy under different life assured name with different PAN within household will help in savings ??

• Yes

• No