Can LIC maturity be deposited in NRO account?

Moreover, the proceeds (death and maturity proceeds) are repatriable and premium amounts can be paid in a foreign currency. If the individual has made the premium payment in Indian currency, that is through the Non-Resident origin (NRO) account, then the death and maturity proceeds will not be repatriable.

Can money be credited to NRE?

You cannot transfer money to a NRE account from a savings account in India. However, you can transfer money from NRO to NRE account. You can also transfer money from one NRE account to another.

How much will I get after maturity LIC?

Maturity Benefit: In case of Life Assured surviving the stipulated date of maturity, 40\% of the Basic Sum Assured along with vested Simple Reversionary Bonuses and Final Additional Bonus, if any, shall be payable.

Is there any tax on LIC maturity amount?

When the premium paid on the policy does not exceed 10\% of the sum assured for policies issued after 1 April 2012 and 20\% of sum assured for policies issued before 1 April 2012– any amount received on maturity of a life insurance policy or amount received as bonus is fully exempt from Income Tax under Section 10(10D).

Is LIC maturity amount taxable?

Therefore, the insurance maturity proceeds are taxable, and not entitled to exemption under section 10(10D) of the Income Tax Act. Sandesh surrendered the policy on maturity on 16 September 2019. Since the maturity payment is above Rs 1 lakh, the insurance company is liable to deduct tax on the maturity proceeds.

Can I pay LIC premium from NRE account?

Non-resident Indians (NRIs) can take a rupee currency insurance policy in India. It can be paid from funds held in a non-resident (external) account or a foreign currency (non-resident) account in a bank in India. A NRI may use the balance in his NRE bank account or FCNR bank account to pay the premium too.

Can NRE account be debited?

There is absolutely no problem when it comes to debiting your NRE savings account held with a Bank in India. Virtually, every form of debit is allowed into a NRE account. This means you can use your NRE account to make local payments, as well as repatriate the proceeds along with the interest anywhere across the world.