Article

Capital gains tax on Sovereign Gold Bonds from 1 April 2026

ClearTax Free Beginner India

How Sovereign Gold Bonds are taxed after Budget 2026, when the tax-free redemption was limited to original subscribers.

  • Redemption at maturity is tax free only for an original subscriber who held the bond to maturity.
  • Bonds bought on the exchange are taxed on their gain even at maturity: 12.5% after 12 months, slab rate before.
  • The 2.5% annual interest stays taxable at your slab rate.

Curated reading that points you to the sources, not personalised investment advice.

It answers 2 questions

  1. Are Sovereign Gold Bonds a better way to own gold than jewellery or gold ETFs?
  2. Are Sovereign Gold Bonds a safe way to hold part of my savings?

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