Tax-free bonds set conditions on tenure, interest floor, commission caps and registration requirements for issuers. The Central Government authorised specified public sector entities to issue tax-exempt secured redeemable non-convertible bonds in FY2011-12 within allocated aggregate limits, subject to conditions: ten- or fifteen-year tenure; mandatory Permanent Account Number for subscribers; interest rates no less than specified floors relative to Government Security yields (with a less stringent floor for public issues); capped commission rates for public and private placements; and a requirement that bondholders register their name and holding with the issuer for the tax benefit to apply.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Tax-free bonds set conditions on tenure, interest floor, commission caps and registration requirements for issuers.
The Central Government authorised specified public sector entities to issue tax-exempt secured redeemable non-convertible bonds in FY2011-12 within allocated aggregate limits, subject to conditions: ten- or fifteen-year tenure; mandatory Permanent Account Number for subscribers; interest rates no less than specified floors relative to Government Security yields (with a less stringent floor for public issues); capped commission rates for public and private placements; and a requirement that bondholders register their name and holding with the issuer for the tax benefit to apply.
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