Business Tidings

Market: Buy Gold at Cheaper Price for Next Five Days

Spread the love

In the midst of continuously rising gold prices, and the government has given an opportunity to buy gold at cheaper rates.

Investors can buy gold much cheaper than the market price under the Sovereign Gold Bond Scheme and today is its first day. So if you want to take advantage of this plan, don’t delay. The profit on its sale will be exempt under the Income Tax rules. Let’s know what is inside in it:-

Sovereign Gold Scheme

The investment period under the scheme has started on March 2 and is the last day on March 6. The government has given up to five days to invest in the scheme. Recently, the price of gold had reached its highest level, but under Sovereign Gold Bond you can buy gold cheaply. This is the 10th series for the government to invest in gold bonds.


Gold Price

Under the scheme, you can buy gold at Rs 4,260 per gram. That is, if you buy 10 grams of gold, then it costs Rs 42,600 and if the gold bond is purchased online, then the government gives an additional rebate of Rs 50 per gram to such investors.


What are the Benefits?

That is, on buying gold online, investors will have to pay Rs 4,255 per gram. In this case, you will get 10 grams of gold for Rs 42,550. While the price of gold in the bullion market is around Rs 43,000 per ten grams. In the next slide, you know where you can buy it and how you will get an income tax rebate.


How to Invest

Apart from banks, post offices, NSE and BSE, you can buy gold bonds also through Stock Holding Corporation of India Limited. Let us know how you will get an income tax exemption under this.


How to get Income tax Exemption

Gold bonds have a maturity period of eight years and get an interest of 2.5% per annum. The interest accrued on the bond is taxable as per the tax slab of the investor but is no tax deducted at source (TDS). If the bond is sold after three years and before the maturity period of eight years, it will attract a Long Term Capital Gain (LTCG) tax at the rate of 20%, but the interest paid on selling after the maturity period will be tax-free.


Gold price is increasing continuously

Investors in sovereign gold bond schemes are allowed to buy up to 500 grams of gold bonds in a financial year. There is a minimum investment of one gram. The government has increased import duty on gold from 12.5 percent to 12.5 percent in the budget. At the same time, gold prices are continuously rising due to increased buying globally.


Click to rate this post!
[Total: 0 Average: 0]

Leave a Reply

Notify of