Tax Benefits
Tax Deduction under Sec 80C
All the premiums you pay are deductible under Sec 80C of the Income Tax Act up to the limit of Rs 1,00,000 specified under that section (along with other eligible investments). Thus you save on income tax when you pay premiums in IDBI Federal Incomesurance™ Endowment & Money Back Plan.
Tax-free Benefits under Sec 10(10D)
The Guaranteed Annual Payout including the minimum annual payout and the additional annual payout is tax-free under Sec 10(10D) of the Income Tax Act. Benefits received upon death are also tax-free under the same section. Incomesurance™ has been designed to comply with the conditions laid down under Sec 10(10D).
When you consider the returns you get under Incomesurance™, please remember to take into account the tax benefits you get and consider the tax-adjusted returns.
These benefits reflect the tax provisions as they exist today. Please note that tax laws may change in the future, please always consult your tax advisor for your tax benefits.