Section 13: Amendment of section 33

Section 33 of the Principal Act is amended by substituting for subsection (3), a new subsection “(3)” -
“(3) Subject to section 17(1) of this Act, there shall be allowed a deduction of the annual amount of any premium paid by the individual during the year preceding the year of assessment to an insurance company in respect of-
(a) insurance on his life or the life of his spouse; or
(b) contract for a deferred annuity on his own life or the life of his spouse:
Provided that any portion of the deferred annuity that is withdrawn before the end of five years from the date the premium was paid, shall be subject to tax at point of withdrawal.”