Tax-Free Bonds
Tax-free bonds are issued by the Government to raise long-term funds, usually for a specific purpose. An example of these includes municipal bonds. It is a low-risk investment option that offers a fixed rate of interest. The most attractive benefit is the tax exemption as per Section 10 of the Income Tax Act of India, 1961. It has a long-term maturity of 10 years and more.
Issuer | Coupon rate (Interest rate) | Maturity Date | Yield to Maturity (%) |
National Highways Authority of India (NHAI) Tax-Free Bonds | 8.75 | 05-Feb-2029 | 5.48 |
National Housing Bank | 9.1 | 16-Nov-2033 | 5.01 |
National Thermal Power Corporation (NTPC) Tax-Free Bonds | 8.91 | 16-Dec-2033 | 5.6 |
Rural Electrification Corporation (REC) Tax-Free Bonds | 8.71 | 24-Sep-2028 | 5.49 |
Housing and Urban Development Corporation (HUDCO) Tax-Free Bonds | 7.64 | 8-Feb-2032 | 5.7 |
Indian Railways Finance Corporation (IRFC) Tax-Free Bonds | 8.63 | 26-March-2029 | 5.11 |
Power Finance Corporation (PFC) Tax-Free Bonds | 8.67 | 16-Nov-2033 | 5.2 |
For real-time updates on the bond market, you can visit the NSE Website.
