09/05/2017

Tax deductible Life Insurance policies: “Look after the pennies and the pounds will look after themselves”

That’s how the saying goes, but many times saving money is a question of being organised. You’ve probably thought ahead and kept your savings in a safe place. And since we are in the middle of the tax season, we want to remind you that there are tax advantages for those who have some type of Life insurance. More specifically, savings plans, pension plans and insured pension plans.

Life Insurance tax benefits 

If you have PIAS (Systematic Individual Savings Plan) or SIALP (Long-Term Individual Savings Plan), you should know that the earnings from investment capital are exempt from income tax.

With Annuities, you only pay taxes on the percentage of Money you receive according to how old you were when you took out the product. Remember that when you are over 65, earnings are exempt if they are reinvested in annuities.

And of course, Pension Plans up to 1.500 euros per year are also deductible.