Current Affairs-Indian Government's Union Budget 2013-14: Rate of Tax on Investment Made through a Designated Bank Account

Rate of Tax on Investment Made through a Designated Bank Account in Rupee Dominated Long Term Infrastructure Bonds Reduced

The Finance Bill 2013-14 proposes reduction of tax on interest in respect of investment made through a designated bank account in Rupee dominated long term infrastructure bond from 20 percent to 5 percent. Presenting the Union Budget in the Lok Sabha today, the Finance Minister Shri P.Chidambaram said that the rate of tax on interest paid to non-resident investors was reduced last year from 20 per cent to 5 per cent. He has now extended the same benefit as above with a view to attract investment in long term infrastructure bonds.