Valuation of life interest

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....an assessee shall be arrived at by multiplying the average annual income that accrued to the assessee from the life interest by (1/P+d)-1 where "P" represents the annual premium for a whole life insurance without profits on the life of the life tenant for unit sum assured as specified in the Appendix to these rules, and "d" is equal to i /(1+i), "i" being the rate of interest. Explanation.-- For....