{"id":103,"date":"2022-01-31T04:27:35","date_gmt":"2022-01-31T04:27:35","guid":{"rendered":"https:\/\/www.krestonsg.com\/blog\/?p=103"},"modified":"2022-01-31T06:03:42","modified_gmt":"2022-01-31T06:03:42","slug":"computation-mechanism-defined-for-capital-gains-on-specified-unit-linked-insurance-policy-receipt","status":"publish","type":"post","link":"https:\/\/www.krestonsg.com\/blog\/2022\/01\/31\/computation-mechanism-defined-for-capital-gains-on-specified-unit-linked-insurance-policy-receipt\/","title":{"rendered":"COMPUTATION MECHANISM DEFINED FOR CAPITAL GAINS ON SPECIFIED UNIT-LINKED INSURANCE POLICY RECEIPT"},"content":{"rendered":"<p style=\"text-align: justify;\"><span style=\"color: #000000;\">The Department of Finance, vide its Gazette dated 18<sup>th<\/sup> January 2022, has made effective the Income-tax (2<sup>nd<\/sup> Amendment) Rules, 2022, introduced therein, adding rule 8AD, enumerating computation of capital gains for sub-section (1B) of section 45, which has been made effective from A.Y. 2021-22.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">Section 45 (1B) has introduced taxability as a capital gain for any amount received under a unit-linked insurance policy, which is not exempt under section 10 (10D), including the bonus received. Rule 8AD provides for computation methodology for capital gains on a specified unit-linked insurance policy on initial receipt and subsequent receipt of any amount under such policy.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-150 aligncenter\" src=\"https:\/\/www.krestonsg.com\/blog\/wp-content\/uploads\/2022\/01\/tabel-1-300x156.png\" alt=\"COMPUTATION MECHANISM DEFINED FOR CAPITAL GAINS ON SPECIFIED UNIT-LINKED INSURANCE POLICY RECEIPT\" width=\"668\" height=\"347\" srcset=\"https:\/\/www.krestonsg.com\/blog\/wp-content\/uploads\/2022\/01\/tabel-1-300x156.png 300w, https:\/\/www.krestonsg.com\/blog\/wp-content\/uploads\/2022\/01\/tabel-1-768x399.png 768w, https:\/\/www.krestonsg.com\/blog\/wp-content\/uploads\/2022\/01\/tabel-1.png 974w\" sizes=\"auto, (max-width: 668px) 100vw, 668px\" \/><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\">As per the Gazette, these capital gains from receipts under specified unit-linked insurance policies shall be deemed to be capital gains from the transfer of a unit of an equity-oriented fund set up under a scheme of an insurance company comprising unit-linked insurance policies.<\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\"><strong><em>\u00a0<\/em><\/strong><\/span><\/p>\n<p style=\"text-align: justify;\"><span style=\"color: #000000;\"><strong>#finance<\/strong> <strong>#insurance<\/strong> <strong>#tax<\/strong> <strong>#capitalgainstax<\/strong> <strong>#globalconsulting<\/strong> <strong>#financemarket<\/strong> <strong>#financeleadership<\/strong> <strong>#financeandaccounting<\/strong> <strong>#industryinsights<\/strong> <strong>#industryexperts<\/strong> <strong>#insuranceindustry<\/strong> <strong>#policy<\/strong><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Department of Finance, vide its Gazette dated 18th January 2022, has made effective the Income-tax (2nd Amendment) Rules, 2022, introduced therein, adding rule 8AD, enumerating computation of capital gains for sub-section (1B) of section 45, which has been made effective from A.Y. 2021-22. Section 45 (1B) has introduced taxability as a capital gain for&hellip; <a class=\"more-link\" href=\"https:\/\/www.krestonsg.com\/blog\/2022\/01\/31\/computation-mechanism-defined-for-capital-gains-on-specified-unit-linked-insurance-policy-receipt\/\">Continue reading <span class=\"screen-reader-text\">COMPUTATION MECHANISM DEFINED FOR CAPITAL GAINS ON SPECIFIED UNIT-LINKED INSURANCE POLICY RECEIPT<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":104,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-103","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-dtax","entry"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/posts\/103","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/comments?post=103"}],"version-history":[{"count":47,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/posts\/103\/revisions"}],"predecessor-version":[{"id":153,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/posts\/103\/revisions\/153"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/media\/104"}],"wp:attachment":[{"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/media?parent=103"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/categories?post=103"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.krestonsg.com\/blog\/wp-json\/wp\/v2\/tags?post=103"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}