Categories: Business

Gold bond sale to start from May 11, RBI fixes issue price of Rs 4590 per gram

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Gold bond issue price fixed at Rs 4,590 per gram of gold

new Delhi. For the next installment of government gold bonds, the Reserve Bank of India has fixed the issue price at Rs 4,590 per gram. The Reserve Bank of India gave this information in a statement on Friday. The second series of the Sovereign Gold Bond Scheme 2020-21 will open from May 11, 2020 and will be open for subscription from May 15, 2020.

The issue price of the gold bond was Rs 4,639 per gram while issuing the first series. The Reserve Bank said last month that the government would issue sovereign gold bonds in six phases from April 20 to September. The Reserve Bank will issue these bonds on behalf of the Government of India.

The Government of India has decided to give an exemption of Rs 50 per gram in the issue price to investors applying online and paying through digital means. The cost of the gold bond for such investors would be Rs 4,540 per gram.

Interest on gold bonds is taxable. That is, the interest you get on a gold bond will be considered your taxable income. However, for individual investors, the amount received on selling the gold bond will be tax free.

This post was published on May 9, 2020 11:27 pm

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