Please suggest whether shall I buy this form of NHAI Tax Free Bonds for tax savings or not? Whether it’ll give some good amount on maturity.
Mani-Tax Free Bonds are not Tax Saving Bonds. To save tax, you have to invest in tax saving products like NSC, PPF, ELSS, Tax Saving FDs, Life Insurance or any related investments. However, in case of tax free bonds, the interest you earn is tax free. First understand what you want, then proceed.
Thank you for your explanation. Whether can I invest in these for investment purpose. I want some safe investment options. Also I’m in 20.6% tax slab now. Whether it’ll gain for me or not?
Mani-I am suggesting once again, if you know your goal, expected return and how to re-invest the yearly coupon amount, then go ahead and invest. Forget about your tax slab and all.