Company name, apply online payment through net banking debit card, issue highlights, information memorandum, download application, allotment status. Sep 25, 2015 pfc tax free bonds 2015 suits investors who are looking for safe, regular income and are in the higher tax bracket. Bonds, issue details, coupon, rating, tax benefit, tenure, application form. Should you invest the interest rates is surely a major attraction in this issue. In simple words, the investor, regardless of the income slab, does not have to pay any tax on the income earned in the form of interest from the bonds. Benefits of investing in pfc tax free bonds icici direct.
Some of it has already been raised through private placement and approx. Download pfc pfc power finance corporation ltd 54ec capital gains bonds. Section 54ec of the income tax act, 1961, for all other bonds. The interest income earned is exempt from tax under section 10 15 iv h of the income tax act, 1961. Under section 54 ec of income tax, 1961 an investor need not pay any tax on any.
Stock markets going up, what should you do with your sip and mutual fund investments. Download form 60 coa ecs indemnity formats query application. Pfc power finance corporation is the latest company to come out with tax free bonds and the terms are exactly the same as the nhai bond issue. Investors can enjoy tax benefits by investing in tax free bonds. A few more psus are going to issue tax free bonds in coming days. Dec 28, 2011 i may or may not get tax free options or even lower interest rates in future. Investor can avail tax exception for the investments made upto rs 20,000 under section 80ccf. The company is coming out with its tax free secured redeemable bonds issue of rs. We would like to show you a description here but the site wont allow us. Now it is the turn for pfc tax free bonds of oct2015.
As the name suggests, the investor receives exempt from paying tax. February 18 march 15, 20 the offer can be preclosed on full subscription annual interest rates for retail investors. The table also shows the effective interest rate for different tax. The bonds are tax free, secured, redeemable and nonconvertible in nature. Public issue of tax free bonds 2012 the contact details of registrar to the issue for all queries related to above issue is as under. Tax deduction is available under section 54ec of the income tax act. Irfc 54ec capital gain bonds application form series iv. The bonds have been seeing a lot of attraction due to the high rate. One can sell the bonds in a demat form after the completion of the lock in period. Pfc tax free bonds offering highest interest rates amongst the tax free bonds currently available in the market. They are also listed on stock exchanges to offer an exit route to investors. So in case of pfc tax free bonds my final maturity will be rs 208168 means a tax free cagr of 7.
Tax exempt bonds forms and publications internal revenue. Sep 25, 2015 the company is coming out with its tax free secured redeemable bonds issue of rs. Fintotal news analysis pfc tax free bonds february 20. Power finance corporation limited pfc will open its public issue of tax free secured redeemable non convertible debentures of facevalue of inr 1,000 each having tax benefits under section 1015ivh of the income tax act, 1961, as amended for an amount aggregating upto inr 3,875. Rural electrification corporation limited rec 54ec cgte bonds series. The major issuers of tax free bonds in india are power finance corporation. Tax free bonds offer tax free income to investors, which means the interest earned on these bonds are exempt from tax.
Rbiinflation indexed national savings securities iinssc cumulative, 20 is it a good investment option. Pfc, hudco, rec, irfc are launching second round tranche of tax free bonds, power finance corporation pfc has come out with tranche ii of the tax free bonds after having raised rs 700 crore in tranche i in dec 2012. Bond name details download form resident download form nris. Power finance corporation of india pfc pfc 54ec capital gain bonds series iv. For queries pertaining to public issue of tax free bonds 201112 and 2014, you can contact the above mentioned persons. About the company pfc is engaged in financing and promotion of power generation, transmission and distribution including renewable energy projects throughout the country. Rec limited formerly rural electrification corporation limited is a navratna company under the administrative control of the ministry of power. Pfc tax free bonds will be issued at a coupon rate of 7. It is a good time to lock in your money in these tax free bonds. Report says that the out of the total issue size, 40% is reserved for retail investors, with the balance.
The proposed issue is part of its plan to garner rs 5,000 crore by way of issuing tax free. Information return for tax credit bonds and specified tax credit bonds yes. So assuming that i will invest interest amount in some other instrument which can give me taxable return 8. The capital gains 54ec bonds eligible for tax deductions can be issued only by rec rural electrification corporation ltd, pfc power finance corporation ltd and nhai national highways authority of india. Welcome to investor services for pfc capital gain tax exemption bonds series iv. You can choose between tenure of 10, 15 and 20 years. Sep 24, 2015 in case you want to apply in physical form, you can visit edelweiss financial services website and download pfc tax free bonds prospectus and application form at this link and follow the process.
Nhai and pfc tax free bonds the financial literates. Pfc tax free bonds synergee capital services pvt ltd. I may or may not get tax free options or even lower interest rates in future. Staterun power finance corp pfc plans to raise rs 100 crore through tax free bonds issue that begins on monday today. National highway authority of india nhai download nhai 54 ec capital gain bonds series xxi. The interest income earned is exempt from tax under section 10 15 iv h of the income tax. It has permission to retain oversubscription up to rs. Tax saving bonds savings bonds goi bonds investing.
Rec tax free bonds application forms know more pfc tax free bonds application forms. As these are tax free bonds so no tax is to be paid and there is no tds on interest. After the ntpc and pfc issues, other tax free bond issuers may struggle a bit to draw investor interest, said ajay manglunia, head, fixed income, edel weiss securities. Public issue of tax free bonds 2012 the contact details of registrar to. Power finance corporation limited pfc will open its public issue of tax free secured redeemable non convertible debentures of facevalue of inr 1,000 each having tax benefits under section 1015ivh of the income tax. You can download various forms details pertaining to bonds as mentioned below. The tenure of the bonds is usually 1015 or even 20 years. May 21, 2019 the tenure of the bonds is usually 1015 or even 20 years. Tax free bonds come with a long term maturity period of 10, 15, and 20 years. Pfc tax free bonds are rated aaa by three rating agencies and are offering 17 basis points. The pfc tax free bond offers the following interest rates. Tax free bonds come with a lot of attractive benefits. Oct, 20 power finance corporation pfc has been allotted rs 5000 crore for raising funds through tax free bonds.
Consolidated information return for small tax exempt government bond issues no. So in case of pfc tax free bonds my final maturity will be rs 208168 means a tax free. Capital gain tax exemption bonds us 54ec power finance. Pfc tax free bonds offering highest interest rates in tax. Apr 27, 2020 consolidated information return for small tax exempt government bond issues no. Pfc tax free bonds salient features of the proposed tax free bonds tax benefits us 10 15 iv h of the income tax act, 1961 the bonds are tax free in nature and the interest on the bonds will not form. These bonds were issued a few years back by government owned companies and. Like i indicated in ntpc tax free bonds analysis, banks are now offering very low interest rates of 8%. Pfc tax free bonds application form linkedin slideshare. Public issue by power finance corporation limited pfc of tax free bonds of face value of rs. The interest income received from these bonds is calculated as a part of your total annual income.
The profits from these bonds usually get invested in infrastructure projects. Tax free bonds for retail investors come with a maturity period from 10 to 15 years. After hudco and rec, power finance corporation has now come out with its tax free bonds. Capital gain bonds invest now in 54ec bonds at karvy value. Download forms rural electrification corporation limited. The government has mandated that issuers would price tax free bonds at 80 bps less than similarmaturity government bonds for institutional investors. Pfc capital gain bond application form 20202021 sanriya. Pfc power finance corporation ltd, a navratna company of government of india is issuing its tax free bond. Buy capital gain bonds online india download bond application. Abstract of form sh nomination form for individual only. The tax free bonds provide fixed rates of interest.
The only two differences that i noticed was that the minimum subscription for the nhai issue was rs. Information memorandum pfc capital gain tax exemption bond. Icici bank tax saving bonds in india goi bonds government of india offer 8% taxable saving bonds, invest saving bonds, savings bond rates. Oct 14, 20 pfc tax free bonds offering highest interest rates amongst the tax free bonds currently available in the market. Pfc long term infrastructure bonds are tax free infra bonds under section 80ccf. Shiv has just left a comment with a link to download the application form of the nhai tax free bonds. Listed below are the major benefits offered by tax free bonds. Pfc tax free bonds salient features of the proposed tax free bonds tax benefits us 10 15 iv h of the income tax act, 1961 the bonds are tax free in nature and the interest on the bonds will not form part of the total taxable income of bondholders. Power finance corporation pfc has come out with tranche ii of the tax free bonds after having raised rs 700 crore in tranche i in dec 2012. Rural electrification corporation limited rec 54ec cgte bonds. Power finance corporation pfc has been allotted rs 5000 crore for raising funds through tax free bonds. Ntpc tax free bonds of 2015 got oversubscribed by 11 times.
Rural electrification corporation limited rec 54ec cgte bonds series xiv fy 202021. As interest on bank fixed deposits have been trending lower, for higher tax bracket taxpayers, the yield on maturity or return on investment on tax free bonds could be 5. Rec limited funds their business with market borrowings of various maturities, including bonds. A tax free bond is an income certificate with a particular interest rate issued for a specific tenure. National highway authority of indianhai capital gain bond. Pfc tax free bonds think twice the financial literates. Rec limited funds their business with market borrowings of various maturities, including bonds and term loans apart from foreign borrowings and provides financial assistance to the power sector in all segments i. Taxation, interest is taxable although no tds is deducted.
Welcome to investor services for pfc capital gain tax exemption bonds series iv private placement of secured, nonconvertible, noncumulative, redeemable, taxable bonds in the nature of debentures of rs. Pfc tax free bonds would open for subscription on 5 th october, 2015. Avail the opportunity to invest in 54ec bonds to gain tax deductions. Click here to know more about capital gain bonds in india. What are taxfree bonds and how they work the economic times. Download pfc pfc power finance corporation ltd 54ec capital gains bonds application form year 202021 for tax saving bond with 5. Rbiinflation indexed national savings securities iinssc cumulative, 20 is it a.
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