banner_ad

Deep Discount Bond

Tax queries 490 views 2 replies

Please explain me the details of Income from Deep Discount Bond and redemption in IT Act ?

Replies (2)

Dear Mr. Ameet,

As per circular no02/2002 Income on Deep Discount Bond will be generate in every year. In the year of Purchase Interest income will be arise-

INTREST INCOME= M.P at the end of Ist year – Purchase Price

In Second Year & then after

INTREST INCOME= M.P at the end of IInd year – M.P at the end of Ist year

At the time of sell (before maturity) short term cap gain will arise.

At the time of Redemption  Interest income  will arise.

TDs will be deducted at the time of Maturity.

But who have invest less than 1 lacs they can declare his income at the time of sell or redemption.

At the time of sell cap gain will arise and at the time of maturity intrest income.

 

Regards

Puneet Mittal

 

 

 

Dear Puneet, Thanks for reply. In few Months before there is also CBDT Circluar. If u get that, then pls forward to me. My Email Id is amitsunil250 @ rediffmail.com.


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
26 May 2026
Education Content Creator

Adyayam Education LLP

Bengaluru

CA Foundation

View Details
Company
14 May 2026
Senior Accounts Executive

Karan Gupta & Co.

New Delhi

Graduate (Any)

View Details
Company
11 May 2026
AUDIT INTERN

M/S K.K.KHANNA AND COMPANY

Noida

CA Foundation

View Details
Company
14 May 2026
Senior Associate

ABHISHEK SHANKAR AGARWAL & ASSOCIATES

Kolkata

CA

View Details
Company
16 May 2026
Audit clerk

mgirt & co

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 15 May 2026
ARTICLE ASSISTANT, TRAINEE AND PAID ASSISTANT

YOGESH KAPOOR AND ASSOCIATES

New Delhi

B.Com

View Details
Company
26 May 2026
Senior Accountant cum purchase Manager

Vardhaman Group of India

Pimpri Chinchwad

CA Inter

View Details