Calculators LIC plans Nivesh Plus Tax
LIC Nivesh Plus tax treatment
The single premium qualifies for §80C deduction up to ₹1.5 lakh in the year paid (old tax regime only). If the premium exceeds ₹2.5 lakh (Finance Act 2021 aggregate cap), maturity proceeds are taxable as LTCG at 10% without indexation.
Tax treatment of Nivesh Plus
The single premium qualifies for §80C deduction up to ₹1.5 lakh in the year paid (old tax regime only). If the premium exceeds ₹2.5 lakh (Finance Act 2021 aggregate cap), maturity proceeds are taxable as LTCG at 10% without indexation. Death benefit is always exempt. Fund switches are not taxable. Note: this threshold applies to your aggregate annual ULIP premium across all policies — if you bought other ULIPs in the same year, add those premiums before comparing to the ₹2.5L cap.
The 10× sum assured rule
For policies issued after 1 April 2012, both §80C deduction on premiums and §10(10D) exemption on maturity require the sum assured to be at least 10× the annual premium. Jeevan Labh's standard premium tables comfortably meet this — only watch out at very high entry ages where premium-to-SA ratios compress.
What changes from FY 2023-24
For non-ULIP life insurance policies issued on or after 1 April 2023 with annual premium above ₹5 lakh, maturity proceeds become taxable. Jeevan Labh premiums for typical sum-assured ranges (₹2 L–₹20 L) sit well below that threshold, so this rule rarely bites — but worth confirming for high-SA policies.
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