Income tax: insurance: does the definition of 'AD premiums' in subsection 110(1) mean that accident and disability premiums received in an income year are fully assessable in that year?
1
No. Accident and disability premiums of a life assurance company are assessable income of the years in which they are derived.
2
Subsection 110(1) defines AD premiums as 'premiums received in respect of AD policies'. This definition was not intended to change the assessability of AD premiums to a receipts basis