Description: The Internal Revenue Code (IRC) sets forth a set of complex rules affecting life insurance companies and the products they sell. This session will explore the company and product tax related requirements imposed by the IRC that are of interest to actuaries, with the session in two parts:Part 1 - Company Tax Overview Federal income taxes are often one of the largest expense paid by a U.S. life insurers, but they tend to be overlooked or simplified in actuarial work. The presenters will provide an overview of key actuarial items impacting the determination of taxable income for life insurers, including the requirement for calculating tax reserves, the impact of changes in reserve basis, and the basics of capitalization of policyholder acquisition expenses (aka "Tax DAC").Part 2 - Product Tax Overview Life insurance and annuity contracts provide for favorable tax benefits. However, in order for policyholders to receive tax benefits, life products need to satisfy certain qualification requirements imposed by the Internal Revenue Code. The presenters will provide an overview of (1) the policyholder tax treatment of life insurance and annuity contracts and (2) the qualification requirements imposed by the IRC in order for policyholders to receive these benefits.This session is intended for actuaries with low to moderate knowledge of company and product tax related requirements and will help you learn key aspects of life insurance company and product taxation that can affect product design, pricing, valuation and modeling.