Section 62 : Amount received from insurance

1) For purposes of computing the income of any person, the provisions contained in Section 31 shall apply in respect of the amount received by that person from insurance.

2) Notwithstanding anything contained in sub-section (1), the following provisions shall apply in respect of the profits made from investment insurance:-

a)If a resident person makes payment of such amount, tax shall be imposed on the insured through final tax deduction and

b) If a non-resident person makes payment of such amount, it shall be computed by including that amount in the income of the insured.

Explanation: For purposes of this Section, “profits made from investment insurance” means the excess sums of payment received by any person for investment insurance in respect of that insurance over the premiums paid by that person.