|
|
Amendment of section 32 of Income Tax Act, 1918.
|
2.—Section 32 of the Income Tax Act, 1918, as amended by subsequent enactments, is hereby further amended as follows:
|
|
| |
(i) in paragraph (c) of subsection (3) “or, where special terms apply to the insurance on the life of the insured person, of the prescribed capital sum” shall be inserted after “capital sum assured” and “or the prescribed capital sum” shall be inserted after “any such capital sum” and after “the sum actually assured”;
|
|
| |
(ii) after subsection (3) the following subsection shall be inserted:
|
|
| |
“(3A) In paragraph (c) of subsection (3) of this section—
|
|
| |
‘special terms’ in relation to an insurance means terms which, by reason of special circumstances concerning the health of the insured person, are less favourable as to the amounts of the premiums payable or as to the capital sum payable on death, than those which would otherwise be available from the same insurer;
|
|
| |
‘the prescribed capital sum’ means, in relation to an insurance (in this definition referred to as the said insurance), to which special terms apply, on the life of an insured person, the capital sum which would have been payable by the insurer on the death of that person by virtue of an insurance to which special terms did not apply and which, except as regards the capital sum payable on death, was in all respects the same as the said insurance.”
|
