8% taxable savings bond scheme has been started by Gujarat Government from 21 – 4 – 2003.

In this scheme investment can be made by individual and minors also.

Minimum investment can be Rs.1000/- or in its multiples. There is no upper limit to investment.

Interest calculated every 6 months @8% interest.

Interest amount after six months or on completion of the term.

If the investor desires, he can receive the bond interest amount by Cheque or Warrant or can directly get it deposited in his savings account.

The interest on investment is taxable under Income Tax.

The amount of this bond is payable only after 6 years maturity period. After maturity no interest will be payable.

No TDS is deducted from the payable interest on Cumulative or non cumulative bond.

Appointment of nominee.

These bonds are not transferable.

These bonds can be activated in any authorized bank.