Sign In
Learn bits
Economy
Admin

30/01/21 09:20 AM IST

Sovereign Gold Bond scheme

In news

The eleventh tranche of the Sovereign Gold Bond scheme 2020-21 will be available for five days starting February 1, 2021.

Sovereign Gold Bond Scheme
  • It was launched by Govt in November 2015, under Gold Monetisation Scheme. Under the scheme, the issues are made open for subscription in tranches by RBI in consultation with GOI.
  • RBI Notifies the terms and conditions for the scheme from time to time. The subscription for SGB will be open as per following calendar.
  • The rate of SGB will be declare by RBI before every new tranche by issuing a Press Release.
  • As per RBI instructions “Every application must be accompanied by the ‘PAN Number’ issued by the Income Tax Department to the investor(s)’’ as the PAN number of the first/ sole applicant is mandatory.
Gold bond advantages over physical gold
  • A sovereign gold bond is a better investment than physical gold because of many reasons.
  • These gold bonds allow you to get a lower price than physical gold when applied online.
  • Fixed interest rate on these gold bonds.
  • Gold bonds have no holding or storage cost.
  • These bonds carry a sovereign guarantee since they are issued by the government.
  • Another benefit of sovereign gold bond scheme is that there is no capital gains tax at maturity or redemption for individual investors. Also, there is indexation benefit if the same is transferred before maturity for non-individual investors.
Source: PIB

More Related Current Affairs View All

16 Jan

INS Surat, INS Nilgiri and INS Vaghsheer commissioned

'PM Modi dedicated three frontline naval combatants to the nation on their commissioning.' The naval combatants – INS Surat, INS Nilgiri and INS Vaghsheer --were commissio

Read More

15 Jan

Meta shutting down fact-checkers

'Meta CEO Mark Zuckerberg said the company will get rid of fact-checkers and simplify content policies by removing restrictions on topics as it is “out of touch with mainstre

Read More

15 Jan

Mission Mausam

'Prime Minister Narendra Modi launched  ‘Mission Mausam’, a groundbreaking initiative aimed at making India a weather-ready and climate-smart nation, as part of th

Read More

India’s First Ai-Driven Magazine Generator

Generate Your Custom Current Affairs Magazine using our AI in just 3 steps