Sovereign Gold Bonds
Date: September 11-September 15, 2023
Salient Features:
1. The Bonds are Sovereign guaranteed by Govt of India
2. SGB provides 2.50% interest p.a. which physical gold investment does not provide.
3. The minimum investment is 1 gram and maximum upto 4 Kg
4. The Bonds is of 8 years with option of early redemption (offered by RBI) every 6 months starting from 5 years 6 months onwards
5. Can be purchased through iMobile / Internet Banking either in Demat mode or *Other than demat mode (soft copy of bonds will be sent by RBI through email)
6. The bonds can be sold anytime on the stock exchanges and thus offering liquidity when funds are needed
Why should someone buy SGB rather than a physical gold:
1. SGB Offers a superior alternative to holding gold in physical form
2. The risk and cost of storage are eliminated
3. Investors are assured of the market value of gold at the time of maturity and additional interest of 2.50% every year*
4. SGB is free from issues like making charges and purity in case of gold jewellery form
5. No GST on SGB
Trade accurately with our daily intraday bank nifty option tips and start counting more profit in the bank.
Taxation on SGB:
1. Interest is taxable as per tax slabs
2. Capital Gain arising on redemption of SGB after 8 years to an individual is exempted (tax free)
3. Capital Gain tax is applicable if sold on the Stock Exchange before maturity.
Investment options through ICICI Bank:
1) iMobile Application - Invest and Insure - Gold Bonds
2) ICICI Bank website - Internet Banking - Invest and Insure - Sovereign Gold Bonds
3) InstaBIZ application - Invest and Insure - SGB
4) Corporate Internet Banking- Treasury - SGB
Sovereign Gold Bond is back!
Offer Details -
Issue Price : Rs. 5,873/gm
Issue Period :11th - 15th September, 2023
Date of Issuance :19th September, 2023
Min. Investment :1 Gram
Max. Investment : 4 Kg(s)
Benefits of SGB?
- Govt. backed
- 2.5% Fixed Interest p.a.
- Securely held in demat form
- No GST and Making Charges
- No recurring expenses
- Can be pledged for MTF
Why choose SGB over Gold ETF?
- No tax on capital gain at maturity
- If sold in the secondary market,
STCG - Slab Rate
LTCG - 20% with indexation
- Gold ETF is taxed at Slab Rate
