ULIP Tax Rules 2021 – Should you still invest?

ULIP Tax Rules 2021 – Should you still invest?

Finances News

ULIP Tax Rules are changed in Budget 2021. Capital gain tax is applicable on the gain from ULIP policy provided yearly premium is exceeding 2.5 Lakh. The new rule is introduced to bring equality between mutual funds and ULIPs. Let’s demystify ULIP Tax Rules 2021. ULIP is a unit-linked insurance policy. ULIP provides life coverage as well as wealth generation to the purchaser. In ULIP part of the premium goes for the life insurance coverage and the remaining is invested in the market in the combination of equity and debt. The return of the money invested varies based on the