We deals in LIC of India all Insurance Plans, Life Insurance, Cashless Mediclaim, Income Tax Return, Health Insurance, Medicare, GST, Return

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Showing posts with label Information. Show all posts

Can I Change My LIC Agent ?

One of my client ask me that their LIC agent is not cooperating / assisting to them if he is in need of any query of help, so transfer my policy under your agency name. I told them it is not possible right now because LIC has not provided Agent Portability. So if you are in need of any assistant tel me if I can do so.

During the time of buying the policy, all insurance agent claims big promises like they always take care of your policy, any other services related issue or ready to serve you in case of sudden demise of a policyholder. But the reality is little different. There are many reasons for that. One of them are mostly agent do this profession as part time job. Hence all agent not committing full time to their service. And this may be possibly that policy holder may not get proper service from their agent. 

Majority of Insurance agents does not care for after sales service however, few of them take care of their clients with a hope for further policy or references. 

LIC agent is a salesman who just acts as an intermediate between the customer and LIC of India. Once the plan is sold by the agent to the customer, then you are only a customer of LIC of India and the agent has no liability towards you. So, if your agent is not assisting you in depositing LIC Premium, or some other help then you can not do any thing. 

The only exception is being that if a plan is sold to you with improper information you can withdraw your insurance policy within 15 days.

As of now there are no such rules set either by Insurance Companies or from IRDA regarding change / port of Agent.

But if your agent has died then you can write an application to the branch and ask them to assign your policies in the name of your new agent. But it is possible only if your policy becomes an Orphan Policy

The policy (ies) initially effected by an Individual Agent whose services were subsequently terminated or removed from LIC are qualified as Orphan Policy (ies) and are qualified as Orphan Policy for the purpose of Agent Portability Rules. Except the policies whose effecting agent is entitled to renewal commission under section 44 of the Insurance Act , 1938 and The policies falling under proviso of Rule 10 (4) of LIC of India (Agents) Rules, 1972.
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Procedure To Change LIC Service Branch

Many of my clients says that I am from Bihar / Bengal, can i change my policy from Delhi to Bengal / Bihar at my nearest LIC branch. I say yes to them. Person who has taken LIC insurance policy (/ies) can change their policy (/ies)  service branch. Service Branch means the branch from where LIC Policy bond has been issued. We all know that LIC of India is India's biggest life insurance company operating  since 1956 and having more than 2000 branches across the country. Mostly people who has taken LIC insurance policy and then if they have to shift to some other city or state, and if they feel need to shift their LIC service branch they can do so. For example Ram is doing job in Delhi and he hails from Patna and has taken LIC's Life insurance policy (/ies). Now Ram is thinking to shift to their home town (Patna, Bihar). One thing to remember all LIC insurance policy taker that they have to visit their home branch if it comes some critical matter pertaining to policy. But maximum work can be done at any LIC branch so, don't worry. Now Ram is thinking to transfer their LIC Policy to their nearest branch situated at Patna (home town). 
There are three methods to change / port LIC Branch. So, Ram can opt any one procedure to change LIC Branch. 

1. By Visiting Current Policy Servicing Branch :
You can go directly go to your current Policy Servicing Branch with an application and photocopy of LIC policy (/ies) about to transfer your policy from current servicing branch to your nearest branch. Remember to get receiving of your application submitted at branch.

2. By Sending Request Through Email :
You can send an email to the branch manage of your current LIC policy serving branch regarding the change of serving branch of your policy. You need to attach scan copy of all your policy you wants to transfer with your ID proof and address proof with valid reason. Email id of the branch is clearly written on your First Premium Receipts (FPR) and on your Policy Bond in Service Branch Column.

3. By Sending Request Through Post :
Write a letter to your LIC Branch about to change the new service branch of your policy ( you must provide them Branch Code and complete address). Attach photocopy of your policy(ies) you want to shift to new branch along with policy holder's self attached ID proof and address proof with a valid reason. Post it through courier / post office, keep the receipt of post and keep tracking with your LIC branch.

But there are some restriction of Transfer of Policy : -

1. Policy can not be transferred within one year from date of commencement of such policy.

2. Premium of such policy (ies) must of showing paid for one year.

3. Lapsed policy can not be transfer / shift. It can be only after revival of that policy.

4. Policy which are to be mature within one year can not be transfer to any other branch office.

5. Only policy in-force can be transfer.

6. Policy under convertible Guaranteed Triple Benefit Plan , Whole life Plan and Children's Deferred Endowment Assurance plan where date of exercising option/adoptions under the policy's fall due in the course of one year following the date of request for transfer should not be transferred unless the option/adoption in the case of GTB / CDA policy has been exercised/ completed.

7. Salary Saving Scheme (SSS) policy, can be transferred to another branch office or Division office even though it is in lapsed condition with specific request made by policy holder that he will revive such policy after transfer to the new office. 
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Wrong Filed Income Tax Return ! Revise It.

Normally when we file Income Tax Return (ITR) we try to keep full precautions to avoid any mistakes. But sometimes mistakes may happen. Like given wrong bank account details or left considering interest income received on saving bank account or claim wrong deduction or fill details under wrong head etc. But don't worry law gives us permission to revise it as per Section 139(5) of Income Tax Act.

Section 139(5) says if return filer get noticed that they have done mistakes in filing Income Tax Return then they can file revise return before completion of Assessment Year or Completion of Assessment Process. Remember Assessment Year is the next year for which ITR has been filed, for example If we have filed ITR for the financial year 2017-2018 then Assessment Year will be 2018-19.

What Is Revised Return?
Revised return is the refiling of Return of same Financial Year (F Y) in which we had made mistakes and now willing to correct it. In Revised Return you need to provide details as per Original Return.

Who Can File Revised Return?
Section 139(5) Income Tax Act gives permission to file Revised Return to all those Tax Payers who already have filed their Income Tax Return (ITR) before its due date. If you have filed late ITR means filed after its due date,  then you are not permitted to file Revised Return.

What is the Last Date To File Revised Return?
Earlier law permits to revise ITR within one year after completion of its Assessment Year it means assessee gets to year to file correct ITR, suppose you file ITR for F Y 2014-15 (A Y 2015-16) then you can file Revise Return within F Y 2016-17 (A Y 2017-18). But it is reduced last year. Now you have to file revised return within it Assessment Year.

How To File Revised Return?
You have give same details what you have already give in your Original ITR with its correction. But you have to select Revised Return U/s 139(5) in place of Original Return and need to provide Original Receipts Number along with filing date.

How Many Times You Can File Revise Return?
You can file Revise Return many times till you come with its correct details. But remember every-time you need to provide Original Return filing Receipts No and filing date. Don't Misuse It, assessing officer may ask you for doing this.

Most important every time you file Original Return or Revise Return you must need to complete verification process otherwise Income Tax Department will not accept it.


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Ease Your Tax Burden - Invest Now


An small investor (and tax payer) is one who manages his finances in such a way that the TDS is just equal to the tax he is supposed to pay for a particular year. You need to balance your needs based on need for liquidity in hand, investment returns and tax savings.

Every individual get more tensed in the month of February /March every year as in this month when they feels like they are being subject to extortion in form of Tax Deduction at Source or Advance Tax. And advised if not want to pay tax then go to invest in tax saving investments.
There could be moments when you feel that you have paid too much of taxes or too much of tax has been deducted from your salary. So to avoid such situation one should start planning their taxes from the beginning of the year itself so that you don’t end your year by paying more taxes.
When the employer deducts tax at source, more particularly, during last two months, as he would like to avoid defaults on his part, to save on interest and penalties, he shall consider all your investments which give you tax deductions or savings. While deducting tax at source, he shall consider investments such as in
Insurance premium,
Provident fund contributions,
National saving certificates,
Investment in pension plans,
ULIPs, Mediclaim etc.
Not only this, he shall also consider certain amounts spent by you on specified items and on your health such as 
Tuition fee of children (80C), 
Repayment of principal amount of home loan (80C),
Medical expenses (80D, 80DD), 
Expenses on specified illnesses (80DDB) (upto Rs. 40,000 and Rs. 60,000 for senior citizens (Rs 1,00,000 wef A.y 2019-20) and for super senior citizen Rs 80,000 from A.y 2016-17 to 2018-19 ( Rs 1,00,000 from A.y 2019-20)
Any amount of interest paid on educational loan (80E) etc.
Donations made to specified eligible funds etc are also eligible for allowance (100% or 50% depending upon type of donation.
Employer is also supposed to consider your house rent receipts but may ask for landlord’s PAN number also.
You can plan you taxes including TDS by integrating your tax planning and investment planning. The investments you make should also have a tax saving objective. If choosing between two options with similar returns and safety features, tax saving would play an important role. In such situations, investments like housing, provident funds, insurance, equity linked saving options etc. can give you some relax feeling.

However, if tax has been deducted in absence of investment or forget to inform the Deductor in time (like bank etc), and your tax liability does not arise as per your income details or tax deduction becomes more than actual tax liability, you should not worry much as it is now mandatory for tax payers to quote then bank account number and details in the return itself which makes refunds faster, safer and hassle free.
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How To Check Form 26AS?

We are near to year end, now complete your exercise regarding tax saving investment  and income tax planning. People who pays us some times are liable to deduct TDS on our payment if crosses threshold limits as prescribed for deduction of TDS.

Before filing Income Tax Return it is necessary to obtain & match all income details. Now question is how to get Form 26AS?. What are the procedure to get form 26AS?

There are two procedure to obtain Form 26AS :
1) Directly login on TRACES Website by giving User ID And Password.
TRACES_Website_Login
                         

2) Login on Income Tax eFiling Website. 

eFiling_Website_LoginAfter login on efiling website go to My Account. Click on View Form 26AS (Tax Credit), user will be redirected to TDS-CPC Portal (i.e. TRACES website). Here you can view Form 26AS by selecting related Assessment Year from drop down menu. You will be asked to select report format type i.e. html, text, PDF then write captcha code in the given box and your statement are ready to view. If you have selected PDF format then you need password to open that downloaded file. 
Password to Open Form 26AS is Date of Birth/ Date of Incorporation (in ddmmyyyy format)

Form 26AS is act like a passbook. Following details have been provided in Form 26AS :
statement Advance tax, Self-Assessment Tax and Regular Assessment Tax paid by self·         Tax paid through Tax Deducted at Source (TDS) or  Tax Collected at Source (TCS) on behalf of users own presence·  Refund issued by the Department to self
·        Information received from various agencies on high value transaction carried by self.
This statement is presented yearly, which reflects the transaction of the concerned year. Any person/company who deduct TDS and deposited it against our PAN are reflects here with following details, 
1. Name of Deductor
2. TAN of Deductor
3. Total Amount Paid / Collected
4. Total Tax Deducted
5. Total TDS Deposited.

Form 26AS are divided mainly into Seven Parts i.e. A - G. These parts are :
a) Part A   : Details of Tax Deducted at Source
b) Part A1 :  Details of Tax Deducted at Source for Form 15G/ 15H
c) Part A2 : Details of Tax Deducted at Source on Sale of Immovable Property 
                 U/s.194IA/ TDS on rent  of Property U/s 194IB (For Seller /Landlord 
                 of Property)
d) Part B  : Details of Tax Collected at Source
e) Part C  : Details of Tax Paid (Other Than TDS or TCS) i.e. ADVANCE TAX
f) Part D   : Details of Paid Refund
g) Part E  : Details of AIR Transaction
h) Part F  : Details of Tax Deducted at Source on Sale of Immovable Property 
                U/s.194IA/ TDS on Rent  of Property U/s 194IB (For Buyer /Tenant
                 of Property)
i) Part G : TDS Defaults 

So, Analyse all details given in Form 26AS. If any discrepancy get noticed then contact the concerned person. Disclose all income atleast as per Form 26AS and take credit of all TDS/Advance tax given in Form 26AS.


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Submission of Investment Proof

Third quarter of this current financial year 2017-18 is near to end. All employees who earn more than taxable limits has to submit their investment/expenses proof, which makes them eligible to get benefit of tax saving option provided by Income Tax Department, to their Employer / HR department for the year 2017-18.
Since the Income Tax Department made it very clear to all employer to verify the geniuses of each claim made by their employee  (vide Circular No.01/2017). This submission is subject to TDS deduction on Salary. Employers have right to act as per guidelines in accordance with the income tax rules to safeguard the interest of the organisation.

Here some list of document pertaining to Expenses/Investment proof needs to submit with employers for the TDS purpose.

Tax Section Guidelines
Rent Payments  
Monthly rental receipts
Following information is mandatory in the rent receipt.
Landlord’s name and address, signature of the Landlord.
Landlord’s PAN or a self-declaration, in case the annual rent amount is greater than 1.0 lakh.
Revenue stamp to be affixed for the cash payments.
Insurance Premium/ULIP/ Pension scheme.
Premium receipts paid during current financial year, in name of self, spouse, children.
Children Tuition Fees.
Copy of Tuition Fees paid to educational institution.
Payment in nature of Donations, Capitation fees, Uniform fee, Sports fee, Van Fees, Shoes & Sock etc., are not allowed.
Public Provident Fund- PPF
Copy of the stamped deposit receipt, paid during current financial year or
Copy of the Passbook with clear mention as PPF Account
National Saving Certificate (NSC) And
Interest accrued on 
NSC deposited in the earlier FYs.
Copy of NSC certificate in the name of employee.
Copy of the NSC’s purchased in the previous FYs.

Interest accrued will be considered as other income too.
MEDICLAIM – Deduction U/S 80 D – including preventive health checkup.
Employee, spouse, dependent children, and parents
Copy of premium receipt paid during the FY.
Receipt of payment of preventive health check-up of the employee or family
Tax Saving Mutual Funds
Copy of investment certificate with the employee name, Investment Date, Amount, Type of Investment.
Only the investments made under Tax Saving Fund / Plan will be considered
ELSS
(Equity Linked Saving Scheme)
Copy of investment certificate with the employee name, Investment Date, Amount, Type of Investment.
Only the investments made under Tax Saving Fund / Plan will be considered.
Income / Loss from House Property- Let out Property Detailed calculation of Let out house property's income/loss.
Principal & Interest Repayment of Housing Loan Interest certificate from the bank/financial institution with the total interest and principal paid/due for the FY.
Post Office –Term Deposit with more than 5 year term. Copy of deposit receipt
Tax Saving Fixed Deposits with Scheduled Banks. Copy of Deposit Receipt invested during current financial year, qualified benefit under Sec 80C of the Income Tax Act
Medical Treatment on Handicapped Dependent – Deduction U/S 80DD
Proof of
a. Expenditure incurred towards medical treatment, training and rehabilitation of a handicapped dependent ., or
b. Amount paid or deposited under any scheme framed in this behalf by the LIC or UTI or any other insurer and approved by the Board for the maintenance of the handicapped dependent
c. Form 10-IA
Medical Treatment Expenses for the specified disease  – Deduction U/S 80DDB
Medical Bills / expenditure incurred by way of medical treatment for a specified disease along with a certificate from a hospital in the prescribed form.
Form 10-I
Interest paid on Higher Education Loan – Deduction U/S 80 E Copy of Bank certificate stating that the loan and interest has been paid and amount payable during the financial year
Additional Deduction in respect of housing loan interest for the first house property acquired in FY 16-17 U/s 80EE
Maximum deduction u/s 80EE is allowed Rs. 50000/-.
The deduction shall be subject to the following conditions:
1. Loan should be sanctioned during the Financial Year 2016-17
2. The amount of loan sanctioned for acquisition of the residential house property does not exceed 35 lakh rupees;
3. The value of the residential house property does not exceed 50 lakh rupees;
4. The assesse does not own any residential house property on the date of sanction of the loan.
All proofs should be provided, as applicable for loss on house property. 
Donations eligible U/s 80G Employers may not consider all the Donations for taxation, hence employees have to consider the same at the time of filing their personal returns and have to claim the tax refund
For Self – Permanent Disability – Deduction U/s 80 U
Any Individual suffering from a permanent physical disability (including blindness) or is subject to mental retardation, on the production of medical certificate from Government Hospital in the prescribed form and manner, along with a Return of Income, shall be allowed a deduction of Rs.75000/-. Where such assessee is a person with severe disability, a deduction of Rs.125,000/- can be claimed.
(Photocopy of certificate (Form – 10 IA) issued by the competent medical authority specifying the % of disability)
For Self – Permanent Disability – Deduction U/s 80 U Form 10 I-A
NPS – 80CCD(1B) Copy of the stamped deposit receipt, paid during current financial year and copy of the Passbook with clear mention as NPS Account

SUGGESTION TO EMPLOYEE ON TAX SAVING INVESTMENT/EXPENSES 
Please review your tax liability of the year in start of the financial year. 
Keep copy of all investment/ expenses related with year. This habit helps you and your employer to clear off tax liability and saves you from interest / penalty factor for less tax payment.
This habit also helps you to assess your options to invest in right investment scheme which are eligible under section 80C.
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How To Link Aadhar No. With Insurance Policies ?

On 08th November 2017, IRDA (Insurance Regulatory And Development Authority of India) issued a Circular No.IRDAI/SDD/MISC/CIR/248/11/2017  that linking your Aadhar No. and PAN is mandatory with all your insurance policies. Read this Circular is as below :
HOW-TO-LINK-AADHAR-WITH-LIC-POLICIES"Central Government vide gazette notification dated 1st June 2017 notified the Prevention of Money-laundering (Maintenance of Records) Second Amendment Rules, 2017 making Aaadhar and PAN/Form 60 mandatory for availing financial services including Insurance and also for linking the existing policies with the same.
The Authority clarifies that, linkage of Aadhaar number to Insurance Policies is mandatory under the Prevention of Money-laundering (Maintenance of Records) Second Amendment Rules, 2017.
These Rules have statutory force and, as such, Life and General Insurers (Including Standalone Health Insurers) have to implement them without awaiting further instructions".
Why it is became so important to all policy holder? It is just to save your investment from any future fraud. We have to understand the importance to link Aadhar to LIC Policies and Linking of PAN to all insurance policies you are having. 
Link-your-Aadhar-With-Insurance-Before-Get-Claim

However the question is, How to link Aadhar No. to LIC Policies? Neither IRDA nor LIC company provided any facility to link their policies with Aadhar. Though there are two ways that you can link your Aadhar no with your insurance policies.
1. Link Aadhar / PAN while buying New Policy:
If you are planning to buy any new insurance policy then there are facility to link your Aadhar No. along with your PAN by providing a self attested copy with new proposal form. 
Therefore who are buying new LIC products should no need to bother now. The process will be completed by LIC itself before issuing a new policy to you.

2. Link Aadhar / PAN to existing LIC Policies:
As I told you, as of now LIC did not came up any online linking facility to existing policies. However you can visit your branch and link Aadhar & PAN to LIC Policies. Do remember to get an acknowledgement of the same.
LIC has the main problem that they don' have any centralized system to manage all policies and customer. It will be little problematic if you have policies from different branch but if it is from same branch then it will be easy.

You can make a list of all your policies with other details like Insured Person Detail, Premium (without tax) along with a letter and self attested Aadhar copy along with PAN/Form 60 (If not provided earlier) and put request to the concerned authority/ LIC agent to do the same.


It is clearly stated in this circular that every person/entities has to link their Aadhar with all kind of insurance policies including Group Policies.

Aadhaar Number has to be captured for both Customer and Proposer.

In case where the Aadhaar number has not been assigned to a client, the client shall furnish proof of application of enrollment for Aadhaar.

The various entities and whose Aadhaar Number has to be captured is clarified as follows,

a.       Individual : The Aadhaar Number of the Individual.

b.      Company / Partnership / Trust :Aadhaar Number issued to the person holding an attorney to transact on the Company’s/Partnership’s/Trust’s behalf.

Click here to link your Aadhaar with LIC Policies

Or  

if you want to link process manually/self by visiting branch, here is the Annexure (Application Format
Application-Format-to-Link-LIC-Policy-with-Aadhaar

What is Form 60? 
Form 60 is a self declaration provided as per requirement & filled by those individuals or person who does not have a PAN ( Permanent Account Number) and who enters into any transaction specified in Rule114B.

Who Require to provide Form 60?
Some person who have insurance policies but they do not earn as per Income Tax threshold limit then they can provide Form 60. 

Before signing the declaration, this declarant should satisfy himself that the information furnished in this form is True, Correct and Complete in all respects. Any person making a false statement in the declaration shall be liable to prosecution under section 277 of the income tax act,1961 and on conviction be punishable.

HOW TO LINK STAR HEALTH INSURANCE POLICY WITH AADHAR NO.?

Here providing you the link. Click here. You will be asked for Policy No., fill up and submit it. 

An OTP will be sent on your registered email ID and your registered Mobile No., fill OTP and submit.

Now provide your Aadhaar No. and PAN no. and submit.

A massage will prompt for successfully submission of PAN And Aadhaar No.


Don't go with any spurious  call to help to link your Aadhaar with Policy. 

Don't Share your personal details with any unknown person.
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Allowances Or Exemptions Under Income from House Property A Y 2018-19

This blog is summarize for those taxpayers who declares their income under the head Income From House Property. Sometimes they forget to avail exemptions that can save their taxes. Here given some section wise info which is available exemptions to save tax to all assessee. So, take consider this exemption before filing your income tax return with the income head income from house property.

List of Allowances / Exemptions Under the head Income from house property for A. Y 2018-19 [F Y 2017-18]
Sl. No. Section Particulars Limit of Exemptions Exemption Available To
1
First proviso to 
section 23(1)
Municipal tax levied by local authority and borne by owner in respect of house property Amount actually paid during the relevant previous year All assessee
1A Section 23(5) No Notional income for house property held as stock-in-trade
Any building and land appurtenant thereto held as stock-in-trade which is not let during the whole or any part of the previous year.
Annual value of such property for the period upto one year from the end of the financial year in which the certificate of completion of construction of the property is obtained from the competent authority, shall be taken to be Nil.
All assessee
2 Section 24(a) Standard Deduction 30% of the Annual Value (Gross Annual Value- Municipal Taxes) All assessee
3 Section 24(b) Interest incurred on borrowed capital
Interest on borrowed capital is allowed as deduction from income from house property as under:
a) Up to Rs. 2,00,000 (if amount is borrowed for construction/acquisition of self-occupied house property on or after 01-04-1999), subject to certain other conditions
b) Up to Rs. 30,000 (if amount is borrowed for reconstruction, repair or renewals of self-occupied   house property)
c) Actual amount of interest paid or payable during the year (in case of let-out property)
d) Pre-construction period interest is allowed in 5 annual equal installments (Subject to certain conditions) 
All assessee
4 Section 25A Standard Deduction from arrears of rent or unrealized rent received subsequently 30% of arrears of rent or unrealized rent. All assessee

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Expenses Save Taxes

We incur several regular expenses which make us eligible for tax benefits but we fail to utilize them due to our less knowledge about it. Here we will discuss about some expenses which will help you to save tax.

1) House Rent : IF we are on rental, pay some amount as rent to our landlord, then you will get tax benefit. Some employee gets HRA (House Rent Allowance) which  helps to get income tax deductions. But if you are not getting HRA break-ups then you can also save tax as per provision under Section 80GG.


2) Travel Expenses : Income Tax gives tax rebate on conveyance @ 1600/- per month for office goers as Conveyance Allowances. Apart from this you can also enjoy tax saving benefit on LTA (Leave Travel Allowances) which can be claimed for two journeys in a block of 4 years. Expenses incurred by you & you family on travel for which your employer gives LTA can be claimed as deduction.

3) Medical Expenses : These expenses are a regular part of everybody's life. For this employee can get benefit of medical allowance allowed by their employee. Apart from this tax laws also allows some tax gains towards money spend on medical insurance & preventive health checkup. Limit of deduction is upto Rs.60000/- under Section 80D, if premium amount not make in cash.

4) Tuition Fees : To provide education we give tuition to our kids. IT Laws provides you opportunity to compensate the expenses you incur on your kids tuition fees by reducing your tax liability. This deduction can be claimed under Section 80C of IT Act.


5) Donations : If your kind hearted & God believer and doing some donations than this habit also helps you some in your tax liability. Cash Donation upto Rs.2000/- only and above by cheques/DD/Transfer to charitable Trust / Organisation will help you to save tax under section 80G.


6) Pension Fund : If your employee deduct your salary for pension fund contribution which is good for your future will also help you in tax saving. If your company not register with PF Scheme then you can opt some other Pension Fund Scheme for investment and future return.

7) Repayment of Home Loan : You have taken a home loan and worry about home loan burden and taxes. Then you should be happy that burden of your home loan EMI can reduce the burden of taxes. You can get the benefit on Repayment of both Principal Amount and Interest Amount components of your installments. You can get a deduction on home loan repayment under section 24 of IT Act  and a deduction on Principal amount under section 80C of Income Tax Act.


8) Repayment of Education Loan : Maintaining positions & for promotion higher qualification and up-gradation in it is must. Due to rising costs of educational courses, people often go for education loans when it comes to higher education. Just like deduction available on tuition fees, your education loan EMI also bring tax benefits to you.

Some Expenses are good. Above these expenses helps you to fulfill your dreams and reduce your tax burden, so don't worry about this. 
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How to Avoid Insurance Claim Rejection ?

Life insurance is not just a tax saving tool, it is a serious financial product which if used correctly can be a bless for your family and dependents. We people take life insurance to safe our future from any mishappen.      
How-to-Avoid-Insurance-Claim-Rejection ?
But it will be only if it get paid to our nominee on time without hassle. There are so many clauses, conditions and exceptions in insurance policies. Failure to meet any of these conditions would result in no insurance benefit being pay out. Most often, insurers rely on legal loopholes and clauses in their policy documents to avoid making payments of sums assured, but surprisingly a large number of times, the fault and blame belongs to the customers themselves.
Here are some points to ensure yourself as a customer that you always get paid.
1. Don't Conceal Information:- While taking a life insurance policy any information pertaining to your health/habits which can put an impact should disclose. Any pre-existing disease or condition or smoking/drinking habits or anything that can be linked as being as cause to your hospitalization or death will be investigated and if you have not disclosed to the company about it then sum assured & other benefits will not be given to you or your dependents/nominee. Remember your premiums are decided on this information. If there is nothing that can be held against you then the insurer will have to honor the insurance claim.
2. Accept Medical Examination: After certain age, life insurer ask for sponsored medical examination and test to get better understanding of your medical condition. These test may also help you detect diseases early, and treat them accordingly. These test will decide acceptance/rejection of policy or clear your doubts about any future rejection of claims due to concealing health information. 
3. Pay Insurance Premium On-Time: Remember Insurance company only settle claims on Active Insurance Policies. But there are number of people who do not understand that delaying premium payments result in lapsed policies. Once your policy get lapse, you are no longer covered and all your premiums paid that far will be rendered useless. Your nominee may lost their legal validity to get sum assured on death from the company. In some cases delaying your insurance premium payments lead to Late Payment Surcharge for re-reinstatement of the policy.
4. Nominee Information: Nominee is the person who will receive any and all benefits that come out of your insurance policy in your absence. Nominee should be generally that person whose livelihoods are directly depends on you being alive and well. So nominate some one is more important. If you are single than nominate your parents, if married then spouse or children. Whatever your present relationship status is, always keep nominee name update so that some benefits will to some dependents of yours. If there is no nominee then death benefits may be freeze/rejected.
5. Scrutinize the Policy Documents: Merely telling the insurance agent everything about your medical history will not qualify him to understand and explain all on the form about your medical history. Insurers decide your premium payment amount, overall coverage, and even some exclusions based on whats' filled out in your forms. No one knows better that you, and you need to make sure the insurance provider knows too. You need to take the time out of your busy schedule and check the form that all details are filled in order and truthfully. Check Clauses such as the exception list that indemnifies the insurer from any kind of liability towards you exist all over your policy documents. 

Keep  yourself informed about all developments with your insurer. Keep yourself informed about the details in your policy documents. Stay well informed about the conditions under which you will be eligible for a claim. 
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Personal Loan - How To Avail it !

Personal Loan everybody's prime requirement nowadays. Every persons are in need of some fund to fulfill their desire, enjoy their festivals, or special occasion. But sometimes earlier people thinks taking loan is almost a big sin. Daily you certainly get some calls from bank or financial institution asking you about your willingness to take personal loan. It seems Personal Loan is become your helping hand. Here we shall discuss about your financial companion i.e. Personal Loan. 
Unsecured Loan: Personal Loan comes under Unsecured Loan category. It is unsecured because you do not have to put any thing lien or give guaranty to get it. So, it becomes attractive.
Tenure: You can generally get personal loan for the period of 1-5 years. 
Documentation: First you should know the documents mandatory to apply for personal loan. The list of documents are as follows:
1) PAN Card
2) Aadhar Card (It is mandatory)
3) Passport or Driving License as Identity Proof
4) For Resident Proof you can submit Passport copy, Ration Card Copy, Electricity/Telephone bill, Gas Bill, Bank Statement copy etc.
5) If you are salaried then arrange Salary Slip (latest 3 Months), Form 16 and Six month Bank Statement. If you are self employed then you have to provide 2-3 years account statement and Income Tax Return copy as proof of Income.
Other Charges: Bank charge not only interest on the loan amount for the given tenure but also charges Service Tax / GST (now) on  interest amount and a processing fee with GST. 
  (a) Processing Fee is charged for complete the loan procedure. Sometimes this processing fee is non-refundable depending upon bank/financial institution' policy. It can be 0.5% to 3% of the loan amount or upto a maximum amount.
  (b) Pre-closure charges, is if you repay the entire loan amount before it's sanctioned tenure the bank levy a pre-closure/pre-repayment charges which is upto 2% - 5% with applicable taxes
   (c) Apart from this if you make late to pay EMI then an other charges levy that is Late Fee, Finance charges with applicable taxes.
Interest Rate: Personal Loan is totally unsecured loan so bank try to charges as maximum as possible interest rate. Normally this rate is discussed before the deal. Range of interest is between 12% to 30% per annum. Moreover interest rates are differ from bank to bank. For government employee interest rates may go down further. So, depending upon your repaying capacity and bank's policy to lend you can, negotiate for the better rates. 
You can even offer Mutual Fund, Insurance or Fixed Deposits as security to increase loan amount.
Requirement / Usage of Personal Loan, depends on your financial/social positions. You may require it if you have taken any borrowing at higher interest rate. In such cash take a personal loan and repay it. Personal loan for paying off Credit Card balance which is being rolled over for months and attracting charges. 
So you can take it to fulfill your requirements or pay off dues or liabilities but remember loan is always injurious to your financial health.
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Tax Benefits For Senior Citizens

In this blog we will discuss Income Tax Benefits to Senior Citizen available as per Income Tax Act. A person becomes senior citizen once he attains 60 years of age. Income Tax Department categories Senior citizen into two part. First Senior Citizen is with age bracket of 60 years to 79 years old and Second Senior Citizen is with age bracket of 80 years and above. 
Income-Tax-Exemption-Available-for-Senior-Citizen
There are some tax exemption available for senior citizen. From F. Y. 2011-12 qualifying age limit for senior citizen has been reduced from 65 years to 60 years and from F Y 2015-16 exemption limit for senior citizen has been enhance from 2,50,000/- to 3,00,000/-. 

A new category of Very Senior Citizen has been introduced in F Y. 2011-2012 (A Y 2012-13) with qualifying age 80 years and above with enhance exemption limit of Rs.5,00,000/-.

Senior Citizens and very senior citizen are granted a higher exemption limit as compared to normal tax payers.

EXEMPTION LIMITS
The Exemption Limit of a Senior Citizen for the financial year 2016-17 available to a Resident Senior Citizen is Rs.3,00,000/-. An Additional benefit of Rs.50,000/- in form of higher exemption limit available to Resident Senior Citizen in comparison to non-senior citizen.
The Exemption Limit of a Very Senior Citizen for the financial year 2016-17 available to a Resident Senior Citizen is Rs.5,00,000/-. An Additional benefit of Rs.250,000/- in form of higher exemption limit available to Resident Very Senior Citizen in comparison to non-senior citizen and Rs.2,00,000/- higher than Resident Senior Citizen.

TAX BENEFIT OF MEDICAL INSURANCE
From Financial Year 2015-17 (A Y 2016-17) a Resident Senior Citizen can claim higher deduction of Rs.30,000/- under section 80D on insurance premium paid for Medical Insurance. Earlier it was Rs.20,000/-

HIGHER DEDUCTION U/S 80DDB
Section 80DDB provides deduction to an assessee in case of expense on medical treatment of specified ailments. Deduction Limits is Rs.40,000/- for normal patient while deduction limit Rs.60,000/- for a senior citizen patient.
From A Y 2016-17 higher limit of deduction of upto Rs.80,000/- is allowable for the expenditure incurred in respect of the medical treatment of a Very Senior Citizen.

TDS EXEMPTION ON BANK DEPOSITS
Senior Citizen can claim exemption on the Tax Deducted At Source (TDS) on interest income earned on bank deposits. It can be done by submitting Form 15H  under Section  197 of the IT Act.

HIGHER INTEREST RATES
Senior Citizen receives higher interest rates on 5 Year Fixed Deposit which is eligible for deduction from total income under Section 80C.
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