Reserve Bank of India (RBI) has revealed common application form for Sovereign Gold Bond. Download SGB Application Form from below link. And fill your details and submit the application form to your bank for investing in Sovereign Gold Bond. Further, this application form is common for all banks and financial institution.SGB-subscription-form
Sovereign Gold Bond Benefits
- The bonds can be bought by resident Indian Individuals (Singly or Jointly), HUFs, Trusts, Universities and Charitable Institutions.
- Initially, The minimum permissible investment will be 1 gram of gold.
- The maximum limit of subscribed shall be 4 kg for an individual, 4 kg for HUF and 20 kg for trusts and similar entities per fiscal year (April – March) notified by the Government from time to time.
- The annual ceiling will include bonds subscribed under different tranches during initial issuance by Government and those purchase from the secondary market.
- In case of joint holding, the investment limit of 4 kg will be applied to the first applicant only.
- Also, The tenor of the bond will be for a period of 8 years with an exit option in 5th, 6th and 7th year, to be exercised on the interest payment dates.
- Further, Investors will be compensated at a fixed rate of 2.50% per annum payable semi-annually on the nominal value.
- It is mandatory for investors to provide bank account details to facilitate payment of interest / maturity value.
- The interest on gold bonds shall be taxable as per the provision of Income Tax Act, 1961 (43 of 1961). The capital gains tax arising on redemption of SGB to an individual has been exempted. The indexation benefits will be provided to long-term capital gains arising to any person on the transfer of bond.
- Bonds will be tradable on stock exchanges within a fortnight of the issuance on a date as notified by the RBI.