CPC Exceeded Powers: Section 143(1) Adjustment on Insurance Policy Quashed

Priyesh Singhania Vs ITO (ITAT Raipur)

ITAT Restores 10(10D) Exemption -CPC Exceeded Powers – 143(1) Adjustment on Insurance Policy Quashed

Assessee had taken a Reliance Life Insurance policy on 31.03.2011 with sum assured of Rs. 20,00,000/- & paid single premium of Rs. 5,00,000/-. On surrender in April 2016, he received Rs. 7,41,718/- on which TDS was deducted u/s 194DA. While processing return u/s 143(1), CPC added the maturity proceeds to total income, denying exemption u/s 10(10D). CIT(A) confirmed adjustment holding that premium exceeded 20% of sum assured, making

Please become a Premium member. If you are already a Premium member, login here to access the full content.