Category: Insurance tips Release Date: 2006-08-01
1. Life vs Income Tax:
Each year in March before the arrival of tax season, insurance companies, about one in February will be sent when proof of a single premium to policyholders, mainly due to the use of listed income tax deduction to people who could be useful returns.
According to the provisions of the Income Tax Act, taxpayers himself and the dependent spouse, children, parents, and deduct the premiums can be cited per person per year, up more than 24,000 yuan.
Also, due to hospitalization or accidents such as time of the accident claims, insurance companies pay the insurance money is tax-free without the need to include the income for the year.
It seems buying insurance can protect themselves and their families well-being, but also in the annual income tax and Chuxian, the saved amount of taxes, how can you not good at financial management to plan for it!
2. Life vs estate:
From the above we know that insurance claims payments do not include the proceeds to pay income tax; so of course, the beneficiaries of death for insurance money, this amount can be used as an addition to the cost of living, tide over their difficulties, but also can be used to pay the estate duty , so that legacy will not be reduced, but not frustrated because he could not pay estate duty.
So, if alive on the insurance plan properly, will enable the survivor's collar on Baiwanqianwan insurance benefit, not only the living will not be put on the spot, but also brought to pay inheritance tax.
No matter how much that the insurance will pay the cost eventually return to our own or a family member who, it is worth planning properly earlier.
