Budget 2026: How FM Sitharaman reshaped ULIP taxation in 2025 and what high-premium investors must know
Under the new framework, gains from such ULIPs will be taxed based on the holding period. If the policy is held for more than one year, profits will attract long-term capital gains tax at 12.5 per cent. If surrendered or matured within a year, the gains will be taxed at the investor’s applicable income-tax slab rate.
Under the new framework, gains from such ULIPs will be taxed based on the holding period. If the policy is held for more than one year, profits will attract long-term capital gains tax at 12.5 per cent. If surrendered or matured within a year, the gains will be taxed at the investor’s applicable income-tax slab rate.
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