Rewritten Title:
Tax Relief for Life Insurance Premiums to Enhance Financial Security
New Directive Allows Tax Deductions on Life Insurance Payments
In a move aimed at bolstering financial security for citizens, the Head of Iran’s National Tax Administration has issued a directive permitting taxpayers to deduct life insurance premiums from their taxable income. The decision underscores the government’s commitment to incentivizing long-term financial planning while ensuring compliance with tax regulations.
Strict Review of Insurance Contracts Required
According to the directive, provincial tax offices must thoroughly review life insurance contracts before approving premium deductions. The examination focuses on verifying that policies remain active and that no cancellations or refunds have been processed. Only after confirming the validity of these contracts can the paid premiums be excluded from taxable income calculations.
Strengthening Digital Integration
To streamline the verification process, the Tax Administration’s Technology Department has been tasked with linking tax offices to relevant insurance industry databases. This digital integration aims to enhance transparency and efficiency in assessing policyholders’ eligibility for tax deductions.
The measure aligns with broader efforts to promote responsible financial management while supporting the insurance sector’s growth. By easing the tax burden on life insurance payments, authorities hope to encourage more citizens to secure their future through reliable financial instruments.
