{"id":11687,"date":"2020-01-18T23:36:49","date_gmt":"2020-01-18T18:06:49","guid":{"rendered":"https:\/\/www.apnaplan.com\/?p=11687"},"modified":"2020-01-18T23:36:50","modified_gmt":"2020-01-18T18:06:50","slug":"gst-life-insurance","status":"publish","type":"post","link":"https:\/\/www.apnaplan.com\/gst-life-insurance\/","title":{"rendered":"GST on Life Insurance Policies"},"content":{"rendered":"\n

Not many people are aware that while buying insurance policies they need to pay GST (Good & Service Tax) along with the premium<\/strong>. As with most of our taxation, GST on life insurance premium is a bit complex and depends on type of policy bought.<\/p>\n

The post tells you what rate of GST is applicable on different life insurance policies.<\/p>\n

Term Plan<\/strong> \u2013 The GST on term plan insurance is 18%. If the premium is Rs 10,000 you need to pay additional 18% i.e. Rs 1,800 as GST. The 18% GST is also applicable on the premium paid on any associated riders.<\/p>\n

\n

Also Read: 9 Tips to Buy the Right Life Insurance<\/a><\/p>\n<\/blockquote>\n

ULIPs (unit-linked insurance plans)<\/strong> \u2013 The GST rate for ULIPs is also 18% but its not applicable on entire premium. This GST rate is applicable on all the expenses associated with ULIPs like fund management charge, Mortality premium, etc.<\/p>\n

\"GST
GST on Life Insurance Policies<\/strong><\/figcaption><\/figure>\n

Traditional Policies like endowment plans<\/strong> \u2013 The GST rate is 4.5% for the first year\u2019s premium and 2.25% on all subsequent year\u2019s premium. If you pay a premium of Rs 10,000 on your endowment plan you pay Rs 450 GST in first year and Rs 225 in all subsequent years.<\/p>\n

Insurance Pension Plans or Annuities<\/strong> where you invest a lumpsum and get monthly\/quarterly or annual payouts the applicable GST rate is 1.8%. In case you buy an annuity for Rs 10 Lakh, you pay a tax of Rs 18,000. \u00a0<\/p>\n

The above GST rates on life insurance premiums would help you plan better.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Not many people are aware that while buying insurance policies they need to pay GST (Good & Service Tax) along with the premium. As with most of our taxation, GST on life insurance premium is a bit complex and depends on type of policy bought.<\/p>\n","protected":false},"author":1,"featured_media":11758,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-gradient":""}},"footnotes":""},"categories":[5,3013,16,103],"tags":[3538,3939],"uagb_featured_image_src":{"full":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies.png",1015,598,false],"thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies-150x150.png",150,150,true],"medium":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies-300x177.png",300,177,true],"medium_large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies-768x452.png",768,452,true],"large":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies.png",1015,598,false],"1536x1536":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies.png",1015,598,false],"2048x2048":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies.png",1015,598,false],"yarpp-thumbnail":["https:\/\/www.apnaplan.com\/wp-content\/uploads\/2020\/01\/GST-on-Life-Insurance-Policies.png",120,71,false]},"uagb_author_info":{"display_name":"Amit","author_link":"https:\/\/www.apnaplan.com\/author\/admin\/"},"uagb_comment_info":0,"uagb_excerpt":"Not many people are aware that while buying insurance policies they need to pay GST (Good & Service Tax) along with the premium. As with most of our taxation, GST on life insurance premium is a bit complex and depends on type of policy bought.","_links":{"self":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/11687"}],"collection":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/comments?post=11687"}],"version-history":[{"count":0,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/posts\/11687\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media\/11758"}],"wp:attachment":[{"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/media?parent=11687"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/categories?post=11687"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.apnaplan.com\/wp-json\/wp\/v2\/tags?post=11687"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}