8% Savings Bonds (Taxable), 2003
 
Features
Maturity Period 6 years
Rate of Interest 8.0% per annum (Taxable)
Risk Attached Low Risk
Minimum Investment Rs. 1,000/-
Maximum Investment Unlimited in multiples of Rs.1,000/-
Collateral Facility Available
Overall Liquidity Not tradable
Date of Issue Date of realization of the funds
 
Payment of Interest
  • Non-cumulative (half yearly):Interest to the holders opting for non-cumulative bonds will be paid from date of issue up to 31st July/31st January as the case may be and thereafter half yearly for period ending 30th June /31st December on 1st August and 1st February.
  • Cumulative: Interest at the rate of 8% per annum compounded with half yearly rests and will be paid to the investor on maturity along with principal. (the maturity value of the bonds shall be Rs 1601.00/- for every Rs1000/-) (subject to TDS as applicable).
 
Tax Concessions
  • Interest on the Bond will be taxable under Income-Tax Act,1961.
  • The bonds will be exempt from Wealth-Tax under the Wealth-Tax Act, 1957.
 
Eligibility
The main features of these bonds are as follows:

  1. As an individual;
    1. Who is not a Non-resident Indian
    2. In his or her individual capacity or
    3. On joint basis, or
    4. Anyone or survivor basis, or
    5. On behalf of a minor as father/mother/legal guardian.

  2. As a Hindu Undivided Family

  3. As an Institution
    1. 'Charitable Insititution' under section 25 of the Indian Companies Act 1956.
    2. Institution obtained Certificate Of Registration as charitable institution .
    3. Any Institution which obtained certificate from Income Tax Authority
      U/S 80G of Income Tax Act ,1961. 

  4. "UNIVERSITY" established or incorporated by Central, State or Provincial Act, U/S 3 of University Grants Commission Act, 1956 (3 of 1956) .
 
 
For application forms and more details, please do contact us.