The Central Government have specified bonds to be issued by (i) Industrial Finance Corporation of India; (ii) Life Insurance Corporation of India; (iii) Infrastructure Development Finance Company Limited; and (iv) a Non-Banking Finance Company classified as an infrastructure finance company by the Reserve Bank of India; as “Long-term Infrastructure Bond” for the purpose of section 80CCF of the Income Tax Act, 1961.
Investment in these bonds up to rupees twenty thousand will be eligible for deduction from the total income of the assessee. The deduction will be in addition to the deduction of rupees one lakh allowed under sections 80C, 80CCC and 80CCD of the Act.
The tenure of the Bonds shall be a minimum of ten years with a lock-in period of five years for an investor. It will be mandatory for the subscriber to furnish permanent account number to the issuer for investment in the bonds.
hi ami a lic agent from last 4 years.i want be an idfc agent.plz tel me what the procedure for be idfc agent in kolkata?plz help me.if it posible then reply send to my mail id priyo.pappu@gmail.com
For Infra Bonds processing, please call me at 9241545354 (for bangalore only).
For Infrastructure Bonds processing, please call me at 9241545354 (for bangalore
only)
To Invest in IDFC & L&T Infra Bonds – Contact – Amit Surpuriya – 9850873688 – Pune
Are you Infra bond Broker
Banglore Hydrabad, chennai mumbai and other city broker can send their detail
then Add you in this list
pls see this link
am a LIC agent. Now I wants to become a agent of infrastructure bonds exempt u/s. 80ccf. so please anyone tell me the complete procedure.
My mobile no 9323453312
am a LIC agent. Now I wants to become a agent of infrastructure bonds exempt u/s. 80ccf. so please anyone tell me the complete procedure.
if any body required Infra Bonds processing, please call me at 9241545354 (for bangalore only)
WHAT IS THE DUE DATE OF INTEREST OF IDFC SERIES-3 INFRASTRUCTURE BONDS ISSUED IN NOV,10
One can opt for these bonds to claim tax benefits.
From investment point of vie it looks decent.
Dear Sir,
Can U please tell what are the next issues of Infrastructure Bonda and what are the times?
Also how much will be the commision in these investments an agent will get?
How to purchase the IFCI infrastructure bonds online through icici direct.
I had called the IFCI office today morning. You can submit your cheque at HDFC bank on Old Airport road. You need to carry
– 2 cheques (One to pay the intended deposit amount and another cancelled cheque)
– PAN card xerox
– Filled IFCI investment request form
I want to invest IFCI long term infrastructure bond. If any body know where to deposit it in Bangalore, kindly let me know. Please mail me the collection centre in Bangalore.
IFCI Tax Saving Long Term Infrastructure Bonds– SERIES II Save Tax u/s 80CCF Issue closes: 31st December 2010
For More Details visit on www. lifins.in
or
call on 9822403407
– Lifins Financial, Pune, Maharashtra, India.
About the company :About the company :
IFCI was established in the year 1948 by an Act of Parliament to provide institutional finance for industrial development in the country. Its lending policies over the last 60 years, objective of providing medium and long term assistance to the industrial sector to fulfil industrial development in the country.
Subsidiaries:
Information & Credit Rating Agency of India Ltd. (ICRA), LIC Housing Finance Ltd., GIC Housing Finance Ltd.,Tourism Finance Corporation of India Ltd. (TFCI), IFCI Venture Capital Fund, IFCI Financial Services Ltd., IFCI Infrastructure Development Ltd., Management Development Institute, Asset Care Enterprise Ltd. (ACE), etc
Salient features of the issue:
• Public issue of bonds by an infrastructure finance company under Sec 80 CCF
• Rating(s) : BWR AA- by BRICKWORK RATINGS INDIA PVT LIMITED
• These bonds will be issued only to Resident Indian Individuals (Major) and HUF.
• Security : The bonds are fully secured with Exclusive first charge on specific receivables of the Company with an asset cover of one time of the total outstanding amount of Bonds and first pari-passu mortgage/charge on the leasehold rights on land.
• The Bonds bear an attractive combination of coupon rate ranging between 8% and 8.25% p.a. coupled with tax benefits of upto Rs 20,000 under Sec 80 CCF.
• There are 4 investment options, suiting the needs of different categories of investors
• The bonds will be issued in either demat form or physical form at the option of bondholders
• No TDS shall be deducted for bonds issued in demat form. In case of bonds issued in physical form, TDS will deducted in case interest amount exceeds Rs.2,500 p.a.
• The bonds will be listed on BSE and Demat mode only following expiry of lock-in period.
• Interest payment will be made through ECS/At Par Cheques/Demand Drafts.
• Investors can mortgage or pledge these bonds to avail loans after the lock-in period.
•Benefits to investors :
• Bonds offer an additional window of tax deduction of investments of up to Rs 20,000 which result in attractive yield to investors. Under Section 80 CCF of the I.T. Act, an investor in such infrastructure bonds will be entitled to tax deduction of investments of up to Rs 20,000. The deduction is over and above the Rs 1,00,000 deduction available under section 80C, 80CCC & 80CCD read with section 80CCE.
• Issue Highlights
Issue Size: Rs. 100 Crore
Issue opens: 16th November 2010
Issue closes: 31st December 2010
Maturity: The Bonds, with a maturity of 10 years, will be issued in 4 series.
AVAILABLE OPTIONS FOR INVESTMENT IN INFRASTRUCTURE BONDS
Options I II III IV
Buyback / Non Cumulative Option Buyback / Cumulative Option Non Buyback / Non Cumulative Option Non Buyback / Cumulative Option
Minimum Application / Face Value 5,000/- 5,000/- 5000/- 5,000/
In Multiples of 5,000/- 5000/- 5,000/ 5000/-
Buy Back Option Yes Yes No No
Interest Payment Yearly NA Yearly NA
Coupon 8% per annum 8% to be compounded annually 8.25% 8.25% to be compounded annually
Yield on Redemption 8.00% 8.00% 8.25% 8.25%
Coupon Payment Date* January 31 every year NA January 31 every year NA
Redemption Date 31/01/2021 31/01/2021 31/01/2021 31/01/2021
Buy Back Period Every Year Between November 01 to 31, starting from Year 2015 till Year 2019 NA NA
Redemption Amount Rs. 5000.00 10795.00 5000.00 11047.00
Redemption Amount (in case the buyback option is exercised) & final redemption amount at the end of 10 years.
Year 5* 5000 7347 – –
Year 6* 5000 7934 – –
Year 7* 5000 8569 – –
Year 8* 5000 9255 – –
Year 9* 5000 9955 – –
When is LIc coming up with this infrastructure bonds?pls let me know
We have a exp of close to 40 yrs exp working out from Chennai. This is a nice option with good returns. Please contact us for all your insurance and mutual fund needs and exp customer delight. Thanks
When is LIc coming up with this infrastructure bonds?pls let me know
now is there openings for infrastructure bonds.
i need to invest.
I am a LIC agent. Now I wants to become a agent of infrastructure bonds exempt u/s. 80ccf. so please anyone tell me the complete procedure.
I have planned invest in long Infra Bonds.
for that whom to reach to get documents.
regards,
Nagabhushana,
0974224325
nagabushana_b@rediffmail.com
when these bonds were launched, having a Demat A/C. was mandatory.. but now its not.. you can apply for these bonds in physical form also..
I WANT TO BECAME AN ADVISIOR/AGENTOF MUTUAL FUNDS AND BONDS OF ANY CO., DIRECTLY CODE THROUGH CO.,WHAT SHOULD I DO FOR THIS?I AM WORKING AS AN AGENT IN LIC AND SBI LIFE INS.FROM LAST 2 YRS.CONTACT NOS ARE 09896156202,09215156202.MY ADD. UNIQUE INVESTMENTS,46, BANK COLONY,OPP.TOWN PARK, DELHI ROAD, HISAR-125001 HRY.
Can you please let us know, if a demat account is necessary for buying the idfc long term infra bone which will be qualifying for 80ccf.
Thanks
L&T Infra is also coming up with a similar offering from October 15th onwards.. It has four options with interest ranging between 7.50% and 7.75% p.a.. Buyback at the end of either 5 Years or 7 Years.. Tax Benefit u/s. 80CCF, No TDS, Rating: CARE AA+ by CARE and LAA+ by ICRA, Tax adjusted yield of upto 17.2%, Listing on NSE are other salient features of this offering..
REC is planning to come up with a similar offering in Janaury 2011..
Shiv
+919999649899
Hi
As I wrote earlier also, I think the Bonds with a “Buyback Option” carrying 7.5% interest are better as after 5 years (when the lock-in-period ends), the investors will have both the options to cash their investments i.e; either by redeeming these bonds back to IDFC or by selling through NSE/BSE. The main advantage of these bonds is the “tax deduction u/s 80CCF” that we are getting at present. After 5 years, anybody who would buy these bonds on the NSE/BSE would not get any tax deduction so probably he wont be interseted in buying these bonds. In that case it would be difficult to find buyers of these bonds. So go for 7.5% cumulative option.
Shiv
+919999649899
Have a Nice Day!!.. 🙂
We can take this bond from bank?
Can any tell me, Is there any infrastructure bond in LIC also?
can anyone still explain which is the best Series one should invest out of 4.
Thanks
I have already bought for Rs 20000 it through my demat account. I think all of us should go for it not only for tax saving but also for the nation building.
From the 4 series of options- which one is suggested for this IDFC infra stucture bonds
Iwantto buy idfc infra bond is it compulsary to open demat account
Dear sir/ Madam,
We are RTG SHARE BROKING LTD. and an independent financial advisior based in Bandra(w) Mumbai50. I think this bond is a good option for Investment with LAAA rated and offer an addition window of tax deduction of investment of upto Rs. 20,000.00
i want to invest in IDFC infra what is the procedure for investment where is the office for investment & where we collect the IDFC INFRA BOND FORM.
I am waiting for your reply. please reply me ASAP.
Thanks & Regards,
Reshma Lokhande.
RTG SHARE BROKING LTD.
604, Sagar Fortune ,184,
Wateefield Road,
Above Sony Centre,
Bandra (w)400050.
Hi Can anyone explain how each series works for different investor.
I need to select from those 4. which shal I take
Thanks
i am intrested in broker
so please send mail
I want to Invest in 80CCF Rs 20,000/- to save my tax.
Could you please advise what would be the tenure and if it is more than Ten Years can we sell it after 5 years.
I m an independent financial advisior based in Kutch-Gujarat. I think this bond is a good option for Investment with LAAA rated and offer an addition window of tax deduction of investment of upto Rs. 20,000.00
for more information please feel free to contact us on 9904353449
Are there any Infra Bond issues lined up other than the IDFC one in current financial year. If yes, which ones? what are the chances that these may offer coupon rate of above 8%. (Assuming the current scenario of increasing interest rates)?
I wanat to invest in IDFC infra what is the procedure for investment where is the office for investment in mumbai & thane
Hi All
I’m an Independent Financial Advisor based in South Delhi. I think these bonds are a good investment option as these are LAAA rated and offer tax deduction u/s 80CCF on an investment of Rs. 20,000 over and above Rs. 1 lac deduction u/s. 80C. In other words deduction u/s. 80CCF is available exclusively for these bonds. Bonds carry Interest of 8% & 7.5% and Tax adjusted yield is upto 17.19% which is quite good.
Buyback facility is quite similar to redeeming/surrendering your FDs/Bonds to the issuing bank/institution in which you get your Principal/Invested amount back after a fixed period of time. I think Bonds with buyback option are a better investment as compared to Bonds without this option, as if after 5 years an investor wants to come out of this investment, he’ll find it difficult to find a buyer of these bonds even at its PAR value on the NSE/BSE assuming 10 year GOI bond yield remains at around 8%. The prospective buyer at that time would rather prefer investing in GILT mutual funds or PPF/NSCs/KVPs/FMPs rather than these bonds as these bonds wont give any tax benefits if bought on exchanges after 5 years.
For more information you can call/sms us on: 9999649899
I would like to become an agent for IDFC Long Term Infrastructure Bonds…. whom I have to contact and what are the other conditions to become an agent.
Specific brokers sub brokers do this work .
or visit lifins.in for details
i want to invest in idfc infra… which series is better and carries higher rate of interest… what is buy bach?
i want to invest in IDFC infra. fund. how to invest
who can sell these bonds to investors, can ARN holders be the agents/distributors
how to invest in idfc infra bonds where to collect the form and submit
IDFC Long Term Infrastructure Bonds- Section 80CCF
Bonds
For more information call us on: 9822403407
Company profile:
IDFC is a leading knowledge-driven financial services company in India and plays a central role in advancing infrastructure development in the country. IDFC is a one-stop-shop for
all products and services across the infrastructure value chain. Established in 1997 as a private sector enterprise by a consortium of public and private investors, the Company listed its Equity Shares in India pursuant to an initial public offering in August 2005.
Salient features of the issue:
❖ First public issue of bonds by an infrastructure finance company under Sec 80 CCF.
❖ Credit rating agency ICRA has rated the Bonds under this offer as “LAAA” with stable outlook, indicating highest safety.
❖ These bonds will be issued only to Resident Indian Individuals (Major) and HUF.
❖ The bonds are fully secured with first floating pari pasu charge over certain receivables of the Company and first fixed pari pasu charge over specified immovable properties of the Company. The security cover is 1.0 times of the outstanding Bonds at any point in time.
❖ The Bonds bear an attractive combination of coupon rate ranging between 7.5% and 8% p.a coupled with tax benefits of up to Rs. 20,000 under Sec 80 CCF.
❖ There are 4 investment options, suiting the needs of different categories of investors.
❖ No TDS shall be deducted.
❖ The bonds will be listed on NSE & BSE and can be traded after the 5 year lock – in period.
❖ Investors can mortgage or pledge these bonds to avail loans after the lock-in period.
❖ Under Section 80 CCF of the I.T. Act, an investor in such infrastructure bonds will be entitled to tax deduction of investments of up to Rs. 20,000. The deduction is over and above the Rs. 1,00,000 deduction available under section 80C, 80CCC & 80CCD read with section 80CCE.
Issue highlights:
❖ Issue size: Rs. 3,400 cr in one or more tranches.
❖ Face value: Rs. 5,000.
❖ Minimum Application: Rs. 10,000 or 2 bonds.
❖ Lock-in Period: 5 years.
Issue summary:
❖ Issue opens: 30th Sept 10
❖ Issue closes: 18th Oct 10
Bond Issue Profile:
Options Series I Series II Series III Series IV
Interest Payment: Annual, Cumulative Annual
Coupon (%) p.a. 7.5% to 8%
Maturity: 10 years
Buy back Facility Yes
Investors to benefi t from 80 CCF Benefits:
❖ The Bonds are classified as “long term infrastructure bonds” and are being issued in terms of section 80 CCF of the Income Tax Act.
❖ Bonds offer an additional window of tax deduction of investments of up to Rs. 20,000
❖ The deduction is over and above the Rs. 1,00,000 deduction available under section 80C, 80CCC & 80CCD read with section 80CCE
❖ It helps in intermediating the retail investor’s savings into infrastructure sector directly.
❖ In the event that any applicant applies for the bonds in excess of Rs. 20,000 p.a., the aforestated tax benefit shall be available to such applicant only to the extent of Rs. 20,000 p.a.
Issue Structure:
❖ Maturity: The Bonds, with a maturity of 10 years, will be issued in 4 series.
❖ Face Value: Each Bond of face value of Rs. 5,000 each.
❖ Minimum application: Rs. 10,000 or 2 bonds. The bonds can be of the same series or 2 bonds across different series.
❖ Lock in: 5 years from the date of allotment.
❖ Buyback facility: Available for Series 3 & 4 only.
Credit rating by ICRA: LAAA Infrastructure Bonds ,The rating of ICRA indicates highest safety and stable.
The issue by IDFC is a good choice for investing in infra bonds. Apart from 8% rate of interest for a 10-year bond, (net yield 11.60%), the bonds are eligible for tax exemption u/s 80 ccf.
Dear sir,
I want to know what rate of interst I will be getting if I invest in infrastructure bond and which infrastructure bond should I take.If possible tell it issue date.
Warm regards,
VVS
Dear Sir,
Housing Development Finance Corp (HDFC)is raising 5 billion rupees via 8.35 percent, 5-year bonds, two sources with direct knowledge of the issue told Reuters on Tuesday. (13th July-2010)
The issue will open on July 19 and will close the same day. Arrangers of the issue include ICICI Securities, Axis Bank and Kotak Mahindra Bank.
Would it be considered for the purpose of section 80CCF of the Income Tax Act, 1961.
Warm Regards,