Cashing Out Whole Life?
Whole life policies rarely make enough money that you'd have to pay any taxes. Just be sure to get the term life BEFORE canceling the whole life.
ANSWER: In your situation, you’re not going to have any taxes. You haven’t even gotten out what you put in. Whole life policies rarely make you enough money on which to pay any taxes. Just make sure you get your term life policy in place before canceling the whole life.