K
Kamau Boniface
Member
The Core Reading notes on page 208 reads...
Let’s say there is a long-term regular premium contract, which the policyholder part surrenders
after five years. Tax is payable only on the excess paid over (formula) where P* is the annual premium payable.
(There is a maximum of 100% of each premium in the case of a contract that lasts more than 20
years.)
My query: What does does the last sentence(in brackets) mean please.
Let’s say there is a long-term regular premium contract, which the policyholder part surrenders
after five years. Tax is payable only on the excess paid over (formula) where P* is the annual premium payable.
(There is a maximum of 100% of each premium in the case of a contract that lasts more than 20
years.)
My query: What does does the last sentence(in brackets) mean please.