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What are the applicable taxes for G-secs?

Bonds - 
Interest income is credited to you bank account. It is considered as income from other sources and taxes have to be paid as per income tax slab. If there is any appreciation in the bond price, it is considered capital gains. Long term (LTCG) is 10% flat or 20% with indexation. STCG is as per the applicable slab rate. 

T-bills - 
You buy at discount and sell it at par. This appreciation is considered as short terms capital gain, and taxes as is per the applicable slab rate. 

Refer to this document from NSE for a detailed explanation.