How can I get 54 EC bonds?

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 IRFC (Indian Railways Finance Corporation Limited). Avail the opportunity to invest in 54EC bonds to gain tax deductions.

What is the interest rate on NHAI bonds?

NHAI bonds interest rate is 5%. Hence it is secure to invest in NHAI tax-free bonds.

Are REC bonds available?

These bonds are available in the secondary market as the govt has not issued after 2016.

Can I buy 54EC bonds online?

The online facility to invest in 54EC bonds is provided by Karvy for 3 bond issuers. 1. Click the “Fill a New Form online” button for the bond issuer you prefer.

Can I buy NHAI bonds online?

There is no online mechanism of purchasing these bonds and a person would be required to physically visit their office and fill in the physical form. After purchasing these bonds – you may either hold them in physical form or demat form but there is no way to purchase these bonds online.

Are NHAI bonds safe?

These bonds are AAA rated and are backed by the government. Hence, the risk of interest and capital payment is protected. This rating indicates the highest safety with regard to the timely payment of interest and principal.

Can I buy REC bonds online?

Where can I buy NHAI and REC bonds?

These Capital Gain bonds can be purchased either from NHAI/ REC or from authorised brokers of these bonds. There is no online mechanism of purchasing these bonds and a person would be required to physically visit their office and fill in the physical form.

Where can I buy NHAI bonds?

Is NHAI bonds are tax free?

NHAI will open its public issue of tax free, secured, redeemable, non convertible bonds of face-value of ` 1,000 each, in the nature of debentures having tax benefits under section 10(15)(iv)(h) of the Income Tax Act, 1961, as amended for an amount aggregating to a total of ` 3,300 crores.

How do I buy NHAI bonds?

Are NHAI bonds tax-free?

Tax-free bonds are debt instruments through which Public Sector Undertakings (PSUs) like NHAI, NTPC, REC in India raised money (through Public Offers that came in between FY12 and FY16). These were issued for a long-term maturity of around 10, 15 or 20 years.

Which bonds are better REC or NHAI?

REC bonds score a bit higher than NHAI bonds. Because on maturity i.e., after 5 years, NHAI bondholders have to apply for surrender of bonds only then the maturity amount is redeemed and paid by cheque or ECS. In the case of REC bonds, it will be automatically redeemed and paid by cheque or ECS.

Can we buy NHAI bonds online?

How do you lose money in bonds?

Bond mutual funds can lose value if the bond manager sells a significant amount of bonds in a rising interest rate environment and investors in the open market demand a discount (pay a lower price) on the older bonds that pay lower interest rates. Falling prices will adversely affect the NAV.

How do you cash out REC bonds?

Bonds will be automatically redeemed by REC on maturity, without the surrender of Bond Certificate(s) and the proceeds would be paid by cheque or NECS/ECS. Demat account is not mandatory, if you don’t have demat a/c, then you will receive physical bond certificate like your Fixed Deposit.

How to invest in Rural Electrification Corporation bonds?

Rural electrification corporation bonds are AAA-rated 54EC bonds. Therefore to invest in REC bonds online are safe and secure. The interest on REC 54ec bonds is taxable. No TDS deduction on the interest rate and free from wealth tax as well. Rural electrification bond comes with a lock-in period of 5 years non-transferrable.

What is Rural Electrification Corporation (REC)?

Rural Electrification Corporation Ltd was established in 1969 to address the demands of the power sector. REC provides financial assistance to the segments of the power sector- be it generation, distribution, or transmission to the state electricity boards, state government, and to the rural cooperative.

What is the interest rate of REC tax free bonds?

REC bonds interest rate is 5% and it is paid annually. REC tax-free bonds are backed by the Government of India; hence the risk factor associated with the rural electrification corporation limited bonds is minimal. Minimum REC bond investment is ₹10,000 for 2 bonds and maximum investment is ₹50,00,000 during a financial year.

What is the interest rate for NHAI and Rec bonds?

The Interest @ 5.75% is payable annually by both NHAI as well as REC. Before 1st April 2018 – the Interest Rate was 5.25% but w.e.f 1st April 2018 – the interest rate has been increased to 5.75% for all bonds purchased after 1st April 2018.