Commentary

E1.452A Life insurance gains—benefit value

Personal and employment tax

E1.452A Life insurance gains—benefit value

E1.452A Life insurance gains—benefit value

Value of a policy or contract

In the case of an assignment of all the rights under a policy, the value of the policy is the amount or value of the consideration received. But if the assignment is between connected persons, the value is the market value of the policy or contract1.

In the case of a life insurance policy, the value on a death is the surrender value immediately before death2.

In the case of a final surrender payment under a guaranteed income bond (see E1.453B), the value is the amount of the surrender payment3.

In any

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