Bonds

What Is GOI Bond?

Government Bonds or GOI Bonds are the typical bonds issued by the Central Government of India and RBI is in the responsibility to maintain the GOI Bonds. Whenever The Government requires money for the welfare of its people, the government sells the bonds to the public. In return, the government will pay a fixed interest rate to the investors buying the bonds. Hence, two things are clear: GOI bonds are the bonds by Government and the GOI Bonds interest rate is always pre-determined.

What Is Floating Rate Savings Bonds?

Floating Rate Savings Bonds is the GOI Bonds 2020. The government of India has declared to introduce the Floating Rate Savings Bonds, 2020 scheme initiating from 1st July 2020. The main motive behind introducing this scheme is to enable Resident Indians or HUF to invest in a taxable bond without a monetary ceiling. This new scheme of GOI bonds is taxable.

What Is The Offer?

FRS or Floating rate investment bonds allow the investors to invest minimum Rs.1000/- to the infinity.
The tenure is of seven years.
Resident individuals and HUF can invest in Floating rate investment bonds.
Since the Government is the issuer of the FRS bond, the risk is minimal.
The FRS GOI Bonds interest rate is 7.15%.
The interest is payable half-yearly on 1st January and 1st July every year.
According to the income tax slab applicable to the individual investor’s income, the interest of the FRS bonds will get taxed.

Why We Recommend Floating Rate Savings Bonds

If you are among the investors who are looking for the effective ways to bulk up their capital, we strictly recommend you for Floating Rate Savings Bonds. Why you should go for it?

Check out the following points

The Latest coupon rate of FRS bonds is 7.15%.
The half-yearly payment option is available here.
While the bank interest rate and Post Office interest rate on Fixed Deposits, recurring deposits are shrinking down, Floating Rate Savings Bonds are the best investment option available in the market.
In the present economic scenario, the FRS bonds are one of the highest-rated government securities available in the market for the investors looking for the most effective alternative options to the bank fixed deposit schemes.

Enjoy Tax Exemption With Long-Term Capital Gain Bonds

Under Section 54EC of Income Tax, investing in Capital Gain Bonds is the most beneficial way to experience tax exemption deriving from the sale of assets. The benefits of Capital Gain Bonds can be pointed out by two simple terms, tax deduction and long-term capital gain bonds. You need to invest in 54EC capital gain bonds to avail of the tax deduction.

What Are The Key Features Of Capital Gain Bonds?

54EC capital gain bonds India are AAA rated. Hence they got the label of extreme safety and security.
Long term capital gain bonds interest rate is 5% p.a., which the investor can pay it annually. Additionally, you will experience zero TDS deduction on 54EC bonds.
Long-term capital Bonds come with 5 years of maturity schedule. They are non-transferable.
One capital bond is of amount Rs.10,000/-, and one can invest in a maximum 500 of 54EC bonds. It clearly shows you can invest up to 50lakhs in capital bonds within a financial year.

What Are The Benefits?

Take a close look at the benefits you can avail of with investing in 54EC bonds.

Tax Saving The investment in 54EC long-term capital gain bonds will bring about tax exemption while allowing you to earn the interest.

Safe And Secure 54EC bonds are AAA rated, backed by Government, ensuring the maximum level of safety and security to the investor.

Flexibility The investors can reach out for long term capital gain bonds India either in physical form from our franchise branch offices or buying Capital Gain Bonds online through the link below.