§ 24305. Life Insurance Payments Made by Reason of Death of Insured.

Source: https://govt.westlaw.com/calregs/Document/IFE3E86634C8311EC89E5000D3A7C4BC3?viewType=FullText&originationContext=documenttoc&transitionType=CategoryPageItem&contextData=(sc.Default)

§ 24305. [FN*] Life Insurance Payments Made by Reason of Death of Insured.

The proceeds of life insurance policies, paid by reason of the death of the insured to any corporate beneficiary, directly or in trust, shall be excluded from the gross income of the beneficiary. It is immaterial whether the proceeds are received in a single sum or in installments. If, however, such proceeds are held by the insurer under an agreement to pay interest thereon, the interest payments must be included in gross income.

Credits

History

1. Renumbered from Reg. 23881a in Subchapter 3 (Register 71, No. 2).

[FN*]

Compare Section 29.22(b)(1)-1, Fed. Reg. III.