Finance · Free tool
Sovereign Gold Bond Return
Issued by RBI on behalf of Govt of India. 2.5% annual coupon (semi-annual, taxable) + capital appreciation at maturity (tax-free for individuals on full 8-year tenure).
₹6000/g
₹11000/g
10 g
8 yrs
30%
Total return
₹58,256
Principal₹60,000
Maturity value₹1,10,000
Capital gain (tax-free)₹50,000
Net coupon (after tax)₹8,256
FAQ
Can I sell SGB before 8 years?
Yes — listed on stock exchanges. But on premature sale, capital gain (gold price increase) is taxed as LTCG at 12.5% (post Budget 2024). Holding to maturity is tax-free.
How is the 2.5% coupon paid?
Semi-annually into your linked bank account. Taxable at slab rate. Auto-credited; no claim needed.
Where to buy SGBs?
During RBI tranche announcements (typically 2-3 per year). Buy via banks, post offices, BSE/NSE, or directly via the RBI website. Online discount of ₹50/g typically applies.