Union Minister Nitin Gadkari has urged Finance Minister Nirmala Sitharaman to remove the Goods and Services Tax (GST) on life and medical insurance premiums. Citing concerns raised by the Nagpur Divisional Life Insurance Corporation Employees Union, Gadkari argues that taxing insurance premiums is unfair, especially for those seeking life and health protection. He also highlighted that the GST on medical insurance premiums hinders the growth of this vital sector.
Gadkari’s letter further mentions the union’s concerns regarding the tax treatment of life insurance savings, the need for re-introducing tax deductions for health insurance premiums, and the potential benefits of consolidating public and private general insurance companies. He concludes by emphasizing the need for urgent action on the GST issue, particularly for senior citizens who face challenges with the verification process.
