With Akshay Tritaya around the corner, the Government of India is launching the Gold Bond Scheme series – I on the 24th of April 2017. As investors will get returns that are linked to gold price, the scheme is expected to offer the same benefits as physical gold. Moreover, the government provides an opportunity to invest in this scheme at a discount of INR 50 per gram.
Benefits of the Sovereign Gold Bonds:
- The Sovereign Gold Bonds will be available in DEMAT form.
- They will carry sovereign guarantee both on the capital invested and the interest.
- Bonds can be used as collateral for loans.
- Bonds are available at a discount of INR 500/10 grams from the listed price of Gold
- Bonds would be allowed to be traded on exchanges to allow early exits for investors who may so desire.
- Capital gain tax arising on redemption of SGB to an individual has been exempted. The indexation benefit will be provided to LTCG arising to any person on transfer of bonds. The department of revenue has said that they will consider indexation benefit if bond is transferred before maturity and complete capital gains tax exemption at the time of redemption.
- The tenor of the bond is for a minimum of 8 years with option to exit in 5th, 6th and 7th years.
- Earn an interest of 2.5% p.a.
To apply for the Gold Bond Scheme submit details
or call us on 011-42445800 / 9650901058