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Qualifying policy |
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Qualifying policyThe proceeds from a life assurance policy to an individual are free of tax provided the policy is qualifying. The rules which govern qualification are: a) The premiums must be payable for ten years or 75% of the term whichever is the shorter. For example a ten year endowment plan will qualify after seven and a half years. b) The premiums must be paid regularly on an annual or more frequent basis such as monthly. c) The sum assured must be at least 75% of the total premiums payable over the life of the policy.Similar MatchesQualifying annuityQualifying annuityAn annuity allowable as investment for a qualified plan or trust. Non qualifying life policyNon qualifying life policyA life assurance policy which does not satisfy the requirements of the Inland Revenue and does not qualify for certain tax relief. See 'qualifying policy'. Nonqualifying stock optionNonqualifying stock optionAn employee stock option that does not satisfy IRS qualifying rules and therefore is liable for taxation upon exercise . Qualifying shareQualifying shareShares of common stock that a person must hold in order to qualify as a director of the issuing corporation. Qualifying stock optionQualifying stock optionA benefit granted by a corporation that allows employees to purchase shares at a discount price. Further Suggestionsqualifying annuityNonqualifying annuity |
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