Computation of total income of film artist paid through annuity policy.

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....nd who gets remuneration from a film producer in the form of an annuity, should be taxed on the entire amount paid by the producer for purchasing the annuity policy in the year of purchase or on the annuity instalment(s) paid under the annuity policy during a particular year. 2. In the cases of the film artists which the Board had on occasion to consider over a period, the following features we....

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....eunder commutable; and (vi) The annuity and/or interest of whatsoever nature in the policy were not assignable in favour of any other person by the artist either during or after the deferment period. 3. This question was examined in consultation with the Ministry of Law. The Board have been advised that in case of a film artist who follows the cash system of accounting for professional incom....

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....s and conditions of each annuity policy to ascertain whether the case possesses all the features referred to in para 2 above before a decision is taken to include the annuity instalment(s) becoming due and payable in a year in the computation of the income from the profession of the film artist in the year. 5. It may, however, be noted that the benefit of these instructions is not intended to b....