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A query was raised regarding the timing of taxation for life insurance capital that matured in 2020 but was collected in 2021. The DGT ruled that the temporal imputation depends on when the benefit becomes due under insurance regulations.
This ruling clarifies the tax period for insurance payouts, establishing that the date of maturity is not the sole factor, but rather when the benefit is legally enforceable.
The tax team reviews your specific situation.
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