New Delhi, Jan 12 (IANS) In a victory for Life Insurance Corporation (LIC), the Income Tax Department has issued a refund intimation of Rs 25,464.46 crore for seven assessment years.

The refund pertains to the ongoing dispute between the Income Tax Department and LIC over allowing interim bonus paid to policyholders by the corporation as deductible expenditure.

The aggregate Rs 25,464 crore refund pertains to AY 2012-13, 2013-14, 2014-15, 2016-17, 2017-18, 2018-19, and 2019-20, LIC said in a filing with stock exchanges.

While LIC's stand was that such interim bonus payouts came under permissible expenditure for taxation purposes, the assessing officer of the Income Tax Department had initially taken a view that it was taxable as surplus was being distributed as an interim bonus.

LIC had challenged the assessing officer’s decision in various appellate forums including ITAT, which directed the IT Department to re-examine the case.

On reconsideration, the assessing officer, while issuing the refund for seven assessment years, also made a separate demand order of Rs 2,133 crore for two other years.

So as against earlier expected refund of about Rs 27,500 crore for seven assessment years, LIC has now got refund of Rs 25,464 crore after adjusting Rs 2,133 crore, sources said.

LIC now plans to appeal to Commissioner, Appeals against all the demand orders - Rs 2,133.67 crore, Rs 1,395 crore, and Rs 1,370 crore - for various assessment years, according to LIC’s filings with the stock exchanges.

LIC also said there is no material impact on financials, operations or other activities of the corporation due to these demands orders.

New Delhi, Dec 21 (IANS) Government-owned Life Insurance Corporation of India (LIC) said on Thursday that the Finance Ministry has granted it a one-time exemption from the minimum 25 per cent public shareholding rule.

The rule states that an entity with a market cap of more than Rs 1 lakh crore must have a minimum 25 per cent public shareholding within five years of listing.

LIC listed on the bourses on May 17, 2022, which requires it to meet the 25 per cent public shareholding norm by 2027. However, the life insurance giant has been given an extension of 10 years from the date of listing and now has a May 2032.

"The Department of Economic Affairs, Ministry of Finance vide Office Memorandum dated December 20, 2023, has decided in public interest, to grant a one-time exemption to Life Insurance Corporation of India to achieve 25 per cent Minimum Public Shareholding (MPS) within 10 years from the date of listing ie, till May 2032 under Rule 19A (6) of the Securities Contract (Regulations) Rules 1957," the country's largest life insurance company said in a regulatory filing.

New Delhi, Dec 5 (IANS) India's state-owned Life Insurance Corporation (LIC) has emerged as the fourth largest life insurer in the world, according to a new ranking, on the basis of life and accident & health reserves, by S&P Global Market Intelligence.

Companies on the list have been ranked by life and accident & health reserves in 2022 which indicates their financial strength.

Life and accident & health reserves generally represent a liability to provide for future commitments under outstanding policies.

The importance of LIC's ranking is reflected in the fact that MetLife Inc., the largest life insurance company based in the US, ranks seventh on the list of the largest global life insurers. Prudential Financial Inc., the second-largest life insurance company headquartered in the US is placed eighth in the ranking.

Allianz SE, China Life Insurance Co. Ltd. and Nippon Life Insurance Co. are the three largest life insurance companies in the world, according to the S&P global ranking.

European companies from six countries dominated the list of top 50 global life insurers ranked by life and accident & health reserves, taking 21 spots. In Europe, the UK is home to the most companies on the list with seven carriers headquartered there.

Asia accounts for 17 spots on the list of top global life insurers, making it the region with the second-highest number.

Mainland China and Japan shared the top spot in Asia with five companies headquartered there.

North America took 12 spots on the list with eight companies based in the US, two in Canada and two in Bermuda.

On an individual country basis, the US has the highest number of life insurers on the top 50 list, with eight.