Business, 28.02.2021 17:00 kprincess16r
The annual increase in the cash surrender value of a life insurance policy:
a. Is taxed when the individual dies and the heirs collect the insurance proceeds.
b. Must be included in gross income each year under the original issue discount rules.
c. Reduces the deduction for life insurance expense.
d. Is not included in gross income each year because of the substantial restrictions on gaining access to the
policy's value.
e. None of the above.
Answers: 2
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The annual increase in the cash surrender value of a life insurance policy:
a. Is taxed when the in...
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