Shaifaly Girdharwal

Shaifaly GirdharwalCheck if you can save tax by investing in new tranche of 54EC bonds issued by NHAI

In case you have booked any long term capital gain in last six months you can save tax by investing in 54EC bonds issues by NHAI recently. Find your eligibility here:

Eligibility for exemption by investing in 54EC Bonds:

Eligible AssesseeAny Assessee (This exemption is allowed to all assesses)
Asset TransferredAny Asset (Long term)
Period of holding of asset transferredLong term capital asset including a depreciable asset hold more than 36 months
Qualifying asset i.e. asset in which capital gain has to be investedBonds of NHAI or RECL
Time limit of PurchasePurchase within 6 months from the date of transfer
Amount of exemptionLower of Capital gain or amount invested in Bonds Maximum permissible amount in such bonds our of capital gains arise in any financial year is Rs.50 Lacs

If you find yourself eligible you can invest in these Bonds and can save tax. Please find the salient features of NHAI issue for 2016 here:

Credit Rating“CRISIL AAA/Stable” by CRISIL Ltd
Face ValueRs. 10000/- per Bond
Issue priceRs. 10000/- per Bond
Minimum application sizeOne Bond of Rs. 10,000/-
Maximum application size500 Bonds of Rs.10,000/- each (Rs.50,00,000) subject to fulfilment of other conditions as specified in Income Tax Act 1961.
As per the provision of sub-section (1) of section 54EC by the Finance (No. 2) Act, 2014, (w.e.f. 1-4-2015) “ provided further that the investment made by an assessee in the long-term specified asset, from capital gains arising from transfer of one or more original assets, during the financial year in which the original asset or assets are transferred and in the subsequent financial year does not exceed fifty lakh rupees”
Size of the IssueRs.5,000 Crore
Mode of Subscription100% on application
Deemed Date of AllotmentLast day of the month during which the application amount has been cleared and credited to NHAI’s collection account
TransferabilityThe Bonds are non-transferable, non-negotiable and cannot be Offered as a security for any loan or advance
MaturityAt par, 3 years from Deemed Date of Allotment
Interest paymentAnnually On 1st April and Final Interest at the time of Maturity
Coupon rate6% per annum
RedemptionBullet, at the time of Maturity i.e. 3 years
TrusteeM/s SBICap Trustee Company Ltd
Apeejay House, 6th Floor
3, Dinshaw Wachha Road, Churchgate, Mumbai-400020
Closure of IssueThe issue is open on-Tap Basis and will close on March 31, 2017 at the close of the banking hours or on achieving of ceiling limit of Rs.5,000 Crore without any further notice or at a date as may be decided by NHAI at its absolute discretion.

Taxability of interest: Interest received on these bonds is fully taxable under income from other sources head.

For any query or to invest in these bonds please whatsapp: 9953077844

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