Sovereign Gold Bond: The government will issue two series of SGBs; the dates, interest rates, and other information are broken down into ten points

 Sovereign Gold Bond: The government will issue two series of SGBs; the dates, interest rates, and other information are broken down into ten points

Sovereign Gold Bond: The government will issue two series of SGBs; the dates, interest rates, and other information are broken down into ten points

The subscription period for the Sovereign Gold Bond: SGB 2023-24 Series IV will run from February 12 to February 16, 2024.

Sovereign Gold Bonds (SGB) will be issued by the government in two tranches: one this month and one in February. Series IV subscription dates are set for February 12–16, 2023, while Series III subscription dates are December 18–22, 2023. On behalf of the Indian government, the Reserve Bank is issuing the bond.

Membership Date for Series III in 2023–2024: December 18–December 22, 2023

Availability: December 28, 2023

Membership Period for Series IV (2023–2024): February 12–February 16, 2024

Date of release: February 21, 2024

Important things to consider when purchasing SGBs from this series

1) SGBs will be sold through designated post offices, Stock Holding Corporation of India Limited (SHCIL), Clearing Corporation of India Limited (CCIL), scheduled commercial banks (apart from small finance, payments, and regional rural banks), and recognized stock exchanges such as the National Stock Exchange of India Limited and the Bombay Stock Exchange Limited.

2) Only resident persons, HUFs, trusts, colleges, and charitable organizations will be permitted to purchase SGBs.

3) SGB will be stated in gold grams, with one gram serving as the fundamental unit.

4) The SGB will have an eight-year term, with the option to redeem early after the fifth year, which will be used on the interest due date.

5) As announced from time to time by the government, the maximum subscription amount every financial year (April–March) shall be 4 kg for persons, 4 kg for HUF, and 20 kg for trusts and similar businesses. Investors will be asked to provide a self-declaration to this effect when they register for membership. SGBs subscribed under different tranches and SGBs bought from the secondary market throughout the fiscal year will be included in the yearly limit.

6) Based on the simple average of the closing prices of gold of 999 purity reported by the India Bullion and Jewelers Association Limited (IBJA) for the last three working days of the week before to the subscription, the price of SGB will be set in Indian Rupees. length of time. For investors who subscribe online and make their payment digitally, the issue price of SGBs will be reduced by ₹50 per gram.

7) Certificates of holding will be given to investors for this. The ability to convert SGBs to demat form will be available.

8) The fixed rate of 2.50% per year, payable semi-annually on nominal value, will be used to recompense investors.

9) Interest on SGB is subject to taxation in accordance with the 1961 Income Tax Act (43 of 1961). A person is not subject to capital gains tax when they redeem SGBs. Anyone who transfers SGBs will get an indexation advantage on any long-term capital gains.

10) The Know Your Customer (KYC) guidelines will apply just as when buying real gold. It will be necessary to provide KYC papers such a voter ID card, TAN/passport, or Aadhar card/PAN. The "PAN Number" that the Income Tax Department issues to individuals and other organizations must be included with every application.