ULIP tax confusion lands investor with Rs 2.48 crore penalty; ITAT steps in to overturn it

For years, Unit Linked Insurance Plans (ULIPs) were promoted as a one-stop financial solution, offering life cover, market-linked growth, and tax-free maturity benefits. However, changes in tax regulations have reshaped their appeal, especially for high-premium policies, and ULIPs no longer carry automatic tax exemptions, making accurate tax reporting more critical than ever.