Irc Section 7702

Section 7702 life insurance contract defined also 7702a rev.

Irc section 7702. 109 280 which directed the amendment of section 7701 without specifying the act to be amended were executed to this section which is section 7701 of the internal revenue code of 1986 to reflect the probable intent of congress. Section 7702 is a portion of the internal revenue code that describes certain conditions that life policies should satisfy in order to qualify as life insurance contract that has tax advantages. In order to better understand this section certain terms should be identified first.

Sections 1207 f and 1222 of pub. See 2006 amendment notes below. By applying the rules of section 7702 b 2 and of section 7702 e other than paragraph 2 c thereof except that the death benefit provided for the 1st contract year shall be deemed to be provided until the maturity date without regard to any scheduled reduction after the 1st 7 contract years.

By applying the rules of section 7702 b 2 and of section 7702 e other than paragraph 2 c thereof except that the death benefit provided for the 1st contract year shall be deemed to be provided until the maturity date without regard to any scheduled reduction after the 1st 7 contract years. Prior to the adoption of section 7702 federal tax law took a fairly hands off approach when it came to the taxation of life insurance policies. This code applies to policies sold after 1985.

For purposes of applying sections 101 f 7702 and 7702a of the internal revenue code of 1986 to any contract a the issuance of a rider which is treated as a qualified long term care insurance contract under section 7702b and. A clever life insurance agent or agency named the policy after section 7702 from the united states internal revenue code that limits tax benefits of life insurance policies. Except as otherwise provided in this subsection the amendments made by this section enacting section 6050u of this title and amending this section and sections 848 1035 6724 and 7702b of this title shall apply to contracts issued after december 31 1996 but only with respect to taxable years beginning after december 31 2009.

Internal revenue code section 7702. Understanding section 7702.