Page 59 - Other Income for Individuals

Life Insurance Proceeds

Proceeds received in installments.

 If you receive life insurance proceeds in installments, you

can exclude part of each installment from your income.
 To determine the excluded part, divide the amount held by
the insurance company (generally, the total lump sum
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Proceeds received in payable at the death of the insured person) by the number
of installments to be paid.
installments
 Include anything over this excluded part in your income as
interest.

Proceeds not received Life Insurance Surviving Spouse 03

01 in installments. I.
LIP

Proceeds.

Surrender of policy for
cash

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