Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: list of goods taxed at 4% :: cpt :: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT Audit :: ACCOUNTING STANDARDS :: TDS :: form 3cd :: due date for vat payment :: VAT RATES :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
« Service Tax »
 GST Network to begin accepting fresh registrations from June 25
 Indian GST is significantly unique, but is it better?
 GST example of national integration
 6 reasons you need not fear the GST regime
 Tax return filing extension on GST may not be enough
 GST: ‘Tech readiness, tax administration key challenges’
 GST return filing rules relaxed for Jul-Aug, July 1 rollout
 GST Council gives return filing breather to India Inc for 2 months
 All eyes on 18 June as GST Council meets to iron out niggling issues
 GST Council's June18 meet to finalise e-way bill, anti-profiteering rules
 Valuation of Tax liabilities Under GST Regime

Life Insurance Council bats for reduction in service tax
December, 12th 2014

Life insurers have asked for parity with other financial products such as mutual funds and fixed deposits, which do not attract service tax on maturity.

Calling for an end to the step-motherly treatment to life insurance policies industry body Life Insurance Council has suggested to the Finance Ministry that life insurance products, which presently attract a service tax of 2 per cent on maturity proceeds for policyholders holding PAN cards and 20 per cent those without PAN cards, should be removed. These recommendations were made by the Council as a part of the pre-budget recommendations to the Government for the life insurance industry.

“Life insurance products are given a step-motherly treatment in taxation. The service tax provision on maturity proceeds is only applicable to life insurance policies that are long-term products and not levied on short-term financial products like mutual funds and bank fixed deposits,” said V Manickam, Secretary General of the Life Insurance Council.

He said life insurers are mandatorily required to invest 50 per cent of their overall investments in Central and State Government securities, which stand at around ?10 lakh crore. Life insurers have also invested ?3 lakh crore in infrastructure investments, he added.

The Council has also asked to carve out a separate tax exemption limit for life insurance premiums of ?1.5 lakh in Budget 2015-16, to help attract more flows into life insurance policies. The Council also sought a reduction in service tax for annuities and regular premium traditional policies to 1.5 per cent from the current 3 per cent to make life insurance products more attractive. A senior official from the insurance regulator said that they have written to the Finance Ministry to make insurance more tax-payer friendly.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Desktop Application Development Outsourcing Desktop Application Development Offshore Desk

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions