“The interest derived from Long-Term Infrastructure Bonds would be taxable under the head ‘Income from Other Sources’ in the hands of the investor. The deduction u/s 80CCF of the Income Tax Act, 1961 does not pertain to the interest on such bonds,” said Dr. Suresh Surana, founder, RSM India.
Is interest on IFCI bonds taxable?
Bonds are not tax free. Interest is taxable in the hands of investor. But no TDS will be deducted from interest. Demat is compulsory….Apply in IFCI bond before August 31, 2010 to avail deduction of Rs. 20000 U/s. 80CCF.
| Issuer | IFCI Limited |
|---|---|
| Coupon rate | • Option I & II- 7.85% p.a. • Option III & IV – 7.95% p.a. |
How do you buy back IFCI infrastructure bonds?
In case you wish to exercise the buyback option available in current year 2017, you are requested to download and send the duly signed Buyback Option Form, after carefully reading the instructions given therein, which should reach the Registrar & Transfer Agent during the buyback intimation period mentioned in the …
Is tax-free bonds a good investment?
Tax-free bonds are an excellent choice for investors looking for fixed income like senior citizens. As government enterprises typically issue these bonds for a longer tenure, default risk is very low in these bonds and you are assured of a fixed income for a more extended period, typically ten years or more.
How do I redeem IFCI family bond?
How can I get the redemption amount ? You have to intimate IFCI Ltd./ M/s MCS Ltd. (Registrar ransfer Agent of IFCI) of such loss referring your Folio No., alongwith the Indemnity Bond* on non-judicial stamp paper of an amount as applicable to your State, duly notarized.
When is IFCI tax saving infrastructure bonds Series V?
Industrial Finance Corporation Of India [IFCI] has come up with a next series of tax saving infrastructure bonds.This issue is eligible for tax benefits U/S 80-CCF max upto Rs 20,000/-.There is lock in period of 5 yrs due to tax benefits issue have. Issue Open Date:Feb 29, 2012. Issue Close Date:March 27, 2012.
What are the tax benefits of infrastructure bonds?
They offer a decent rate of interest and tax benefits. The maturity of these bonds is often between 10 to 15 years with an option to buy-back after a lock-in of 5 years. These bonds are listed either on or both National Stock Exchange or Bombay Stock Exchange that provides you with an option to exit after…
Who is eligible to invest in infrastructure bonds in India?
Infrastructure bonds are borrowings to be invested in government funded infrastructure projects within a country. They are issued by governments or government authorised Infrastructure companies or Non- Banking Financial Companies. Any Indian resident (not a minor) or a Hindu undivided family or can invest.
Where can I find IFCI bonds in India?
The Bonds are listed on BSE, under ‘F’ group – Debt instruments, tradeable on BSE on-line Trading system (BOLT), after 5 year lock-in period National Securities Depository Ltd. and Central Depository Services (India) Ltd.
