Allowability of relief under section 80C of contributions to Army Group Insurance Scheme Fund. - Income Tax - 1184/CBDT

INSTRUCTION NO. 1184/CBDT Dated : June 8, 1978 Section(s) Referred: 80C Statute: Income - Tax Act, 1961 Attention is invited to Board's Instruction No.1125 dated 13-12-77 regarding the allowability of relief under section 80C of the contributions to the Army Group Insurance Scheme Fund. 2. The Air Force and the Navy also run schemes, similar to the Army Group Insurance Scheme, which are known as 'Air Force Group Insurance Scheme' and 'Naval Group Insurance Scheme' respectively. 3. The Board has examined the question whether the contribution made by the Air Force Navy Personnel to the two funds mentioned above would be entitled to relief under section 80C(2)(a)(i) of the Income-tax Act, 1961. It has been decided that the amount contributed by Air Force and Navy Personnel to the 'Air Force Group Insurance Scheme' and 'Navy Group Insurance Scheme' respectively will be treated as insurance premia and will qualify for relief subject to the restrictions imposed by section 80C(4) of the Income-tax Act, 1961.