Pension fund contribution deduction and later taxation of receipts under approved annuity plans and taxable income rules. Deduction for contribution to pension fund is available for qualifying payments or deposits made from taxable income to an approved annuity plan of LIC or another insurer, subject to the prescribed annual limit. If deduction has been allowed, the amount standing to the credit of the pension fund, together with accrued interest or bonus, is taxable when received on surrender of the annuity plan or as pension. Under the earlier provision, the deduction was available only to an individual and was linked to approved annuity plans, with receipts taxable in the year of receipt.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Pension fund contribution deduction and later taxation of receipts under approved annuity plans and taxable income rules.
Deduction for contribution to pension fund is available for qualifying payments or deposits made from taxable income to an approved annuity plan of LIC or another insurer, subject to the prescribed annual limit. If deduction has been allowed, the amount standing to the credit of the pension fund, together with accrued interest or bonus, is taxable when received on surrender of the annuity plan or as pension. Under the earlier provision, the deduction was available only to an individual and was linked to approved annuity plans, with receipts taxable in the year of receipt.
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