Maharajah Bonds gain investor appeal with TDS exemption - The
In a notification dated October 19, the Central Board of Direct Taxes (CBDT) said no tax would be deducted at source on interest paid to eligible bondholders during financial year 2026-27 and subsequent tax years. The exemption covers residents and foreign institutional investors.
New Delhi: The government has exempted interest payments on Maharajah Bonds issued by the New Development Bank (NDB) from tax deduction at source (TDS), a move that could improve the attractiveness of the rupee-denominated instruments to investors.In a notification dated October 19, the Central Board of Direct Taxes (CBDT) said no tax would be deducted at source on interest paid to eligible bondholders during financial year 2026-27 and subsequent tax years.
