All about 54 EC Bonds

Product Highlights :

REC
Issue Capital Gains Tax Exemption Bonds-Series-XIV
Credit Rating ‘ICRA AAA’ by ICRA Limited.
‘CARE AAA’ Stable/ CARE A1+ by Care Rating Limited.
'CRISIL AAA/Stable' by CRISIL Limited.
Face Value ₹ 10,000/- per bond
Issue Price ₹ 10,000/- per bond
Coupon Rate 5.00% annually on or after 01.08.2020
Minimum Application Size Two Bonds of ₹ 10,000/- each. (i.e. Minimum ₹ 20,000)
Maximum Application Size 500 Bonds of ₹ 10,000/- each in a financial year
Interest Payment & Date Annually on June 30 of each year
Tenor 5 years/60 months from the deemed date of allotment.

Why 54EC REC Bonds?
  • Popular investment instruments to claim tax exemption on long term capital gains. Benefit of investing would be available on sale of land or building (residential or commercial).
  • 100% Risk free investment.
Provision of 54EC
  • The holding period for these bonds is 3 years for bonds issued on/before April 1, 2018 and 5 years for these bonds, if issued on/after April 1, 2018. 
  • Interest on 54EC bonds is taxable and is earned annually.
  • 54EC bonds are non-transferrable.
FAQs
1. Can we apply online?
2. You can trade for both BSE and NSE listed scrips through Internet or over the phone
3. Where do we have to submit the application?