aviva life shield plus1

8/11/2019 Aviva Life Shield Plus1

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CORPORATE TAX

PLANNING (CTP)ASSIGNMET 3rd AND 4th

Submitted by

Rakesh kumar Rai - P61074

Section-2, NICMAR, PUNE


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80C section

Section 80C of the Income-tax Act provides for a deduction of up to Rs. One lakh to an

individual or a Hindu undivided family (HUF) for:-(i) making investments in certain savings instruments; or

(ii) incurring expenditure on tuition fee and repayment of housing loan.

The total limit under this section is Rs 1 lakh. Included under this heading are many smallsavings schemes like NSC, PPF and other pension plans. Payment of life insurance premiums

and investment in specified government infrastructure bonds are also eligible for deduction underSection 80C

Most of the Income Tax payee tries to save tax by saving under Section 80C of the Income TaxAct. However, it is important to know the Section in to so that one can make best use of the

options available for exemption under income tax Act. One important point to note here is that

one can not only save tax by undertaking the specified investments, but some expenditure which

you normally incur can also give you the tax exemptions.

Besides these investments, the payments towards the principal amount of your home loan arealso eligible for an income deduction. Education expense of children is increasing by the day.Under this section, there is provision that makes payments towards the education fees for

children eligible for an income deduction

Sec 80C of the Income Tax Act is the section that deals with these tax breaks. It states that

qualifying investments, up to a maximum of Rs. 1 Lakh, are deductible from your income. This

means that your income gets reduced by this investment amount (up to Rs. 1 Lakh), and you endup paying no tax on it at all!

This benefit is available to everyone, irrespective of their income levels. Thus, if you are in the

highest tax bracket of 30%, and you invest the full Rs. 1 Lakh, you save tax of Rs. 30,000.

the investments that fall under Section 80C.

Provident Fund

Public Provident Fund

Life insurance premium

Pension plans

Equity Linked Saving Schemes of mutual funds

Infrastructure bonds National Savings Certificate


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Section 80CCF Infrastructure Bonds

From April, 1 2010, a maximum of Rs. 20,000 is deductible under section 80CCF provided that

amount is invested in infrastructure bonds. This is in addition to the 100,000 deduction allowed

under Section 80(C). Infrastructure Development Finance Company (IDFC) has launched its

second tranche of public issue of long term infrastructure bonds, under section 80CCF. Section

80CCF provides tax payers an additional tax deduction to the extent of Rs 20,000 for

investments in long term infrastructure bonds. This deduction would be over and above the Rs. 1,

00,000 existing under section 80C. The interest received on these bonds shall be treated as

income from any other source and shall form part of the total income of the assesses in that

financial year in which they are received. A minor is not eligible to apply for subscription to

these bonds.

80CCF Infrastructure Bonds in 2011-12

Here is a list of the new infrastructure bonds and its issuing authority

LIC Infrastructure bond

L & T Infrastructure bond

IDFC Infrastructure bond

Infrastructure bond PFC.


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Aviva Life Shield Plus

Life Shield Plus provides the benefit of payment of the life cover in the event of your unfortunate

death, to your nominee. It also has a provision for paying a sum double to the life cover in case

of your unfortunate death in an accident, to your nominee. This is immediately done if you have

opted for the Accidental Death Benefit rider.

Aviva Life Shield Plus has a provision for the immediate payment of the life cover in the case

you are critically ill or you are permanently or totally disabled, even though life cover continuesuntil the end of the policy term. This is indeed a welcome provision for your family at such a

critical time.

Aviva Life Shield plus provides comprehensive protection for your family at a nominal cost

through:

Payment of Life Cover (Sum Assured) to your family in the event of your death, with a

provision of double the Life Cover in the case of an accidental death.

Immediate payment of the Life Cover in the case of critical illness or permanent totaldisability, while life cover continues till the policy term

Most competitive rates

Benefits:-

1)Death benefit:

Payment of Life Cover (Sum Assured) to your family in the event of your death, with aprovision of double the Life Cover in the case of an accidental death, if you have opted for

Accidental Death Benefit rider

2) Health benefit:

Payment of Life Cover (Sum Assured) to your family in the event of your death, with aprovision of double the Life Cover in the case of an accidental death, if you have opted for

Accidental Death Benefit rider

Specifications:

Entry age:18-55 years (Maximum age at the expiry of the policy is 65 years) Policy term:10 years to 30 years

Minimum Sum Assured:Rs 10 lakh

Premium Payment Frequency:Yearly, Half Yearly, Quarterly and Monthly

Riders:Aviva Dread Disease (DD) Rider and Accidental Death Benefit (ADB) Rider


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Easy steps to Plan:

Step 1Choose the level of

protection you wantMinimum life cover (Sum Assured) is Rs 10 lakh

Step 2

Select riders for

comprehensive

protection

.Aviva Dread Disease (DD) Rider :(Minimum Rider sum assured : Rs. 2 lacs

Maximum Rider sum assured : Base sum assured maximum ofRs. 50 lacs)

Accidental Death Benefit (ADB) Rider :

(Equal to Base sum assured provided that ADB Rider premiumdoes not exceed 30% of the premium of the base productotherwise, the rider sum assured would be reduced accordingly.)

Step 3

Arrive at the policyterm by choosing the

period for which you

want protection

Policy Term: 10-30 years subject to

Entry Age : 18-55 years

Maturity Age : 28-65 years

Step 4Select the Premium

frequency based onyour convenience

Single

Regular (equal to policy term) via Yearly, Half Yearly,Quarterly & Monthly modes

Step5Work out the

premium payable

along with ourFinancial Planning

Adviser

Calculate now premium


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Aviva's LifeShield Plus Illustration

For example:-

Date of commencement of policy: 08/12/2011

Date of birth of life insured: 12/01/1983

Ages in yrs: 28

Gender Male

Policy term: 10 years

Premium type: Regular premium

Total sum assured Rs 1500000

Policy coverage Accidental Death Benefit Rider

Premium frequency Annual

The entry age for buying a Life Shield Plus policy ranges from 18-55 years. The policy term ranges from

a minimum of 10 years to a maximum of 30 years. The minimum sum assured at the time of maturityamounts to around ten lacs.

Life Shield Plus is a policy which is one of its kinds and it takes a leading place in the market for aninsurance policy. Getting a Life Shield Plus Policy is any day the best option since it can suit anyones

pocket.

You need not worry about medical bills or diseases hereafter with the Aviva Life Shield Plus policy inhand. All you need to do is think of your future life while you are enjoying your present life.

For above policy the premium is calculated: 2130 without service tax

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aviva life shield plus1

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