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A query was raised regarding whether 'unit linked' life insurance policies should be subject to Wealth Tax. The Directorate General for Taxes (DGT) ruled that if the policy does not grant a right to surrender, its value is not included in the taxpayer's wealth.
This ruling clarifies that life insurance products lacking a surrender value do not constitute taxable assets for Wealth Tax purposes, providing legal certainty for unit-linked products without redemption rights.
The tax team reviews your specific situation.
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