Sovereign Gold Bond (SGB) Returns Calculator
Calculate returns on RBI Sovereign Gold Bonds — including 2.5% annual interest, capital appreciation based on gold price, and tax treatment (LTCG exempt if held to maturity).
Did this tool work for you?
How to use this calculator
- 1
Sovereign Gold Bonds (SGBs) earn 2.5% annual interest on the issue price, paid semi-annually.
- 2
If held to 8-year maturity: capital gains are COMPLETELY TAX-FREE (LTCG exemption under Sec 47).
- 3
If sold in secondary market before maturity: LTCG at 12.5% (after 12 months); STCG at slab rate (within 12 months).
- 4
Interest income is taxable at your slab rate — add it to your taxable income and pay accordingly.
Frequently asked questions
Are Sovereign Gold Bonds tax-free?
Partially. Capital gains at maturity (after 8 years) are completely tax-free under Section 47(viic). However, the 2.5% annual interest is fully taxable as "Income from Other Sources" at your slab rate. Early redemption (after 5 years on RBI window) or sale in secondary market attracts LTCG at 12.5% (if held > 1 year) or STCG at slab rate (if held ≤ 1 year).
What is the current SGB interest rate?
The SGB interest rate is fixed at 2.5% per annum on the initial investment amount. This rate does not change with gold prices — you earn 2.5% on the issue price regardless of whether gold prices go up or down. Interest is paid semi-annually (every 6 months) directly to your bank account.
Sovereign Gold Bond (SGB) Calculator — Returns, Interest & Tax on RBI Gold Bonds
SGB vs Physical Gold vs Gold ETF — which is better?
SGB advantages: 2.5% interest (physical gold/ETF give 0%), capital gain exempt at maturity, no storage cost, backed by RBI. SGB disadvantages: 8-year lock-in (though exit via secondary market after 5 years), limited liquidity. Gold ETF advantages: high liquidity, no lock-in, can buy/sell anytime. Physical gold: most liquid but storage risk + no interest + making charges.
Learn more from an authoritative source:
InvestopediaPF Withdrawal Tax Calculator
Calculate tax on EPF (Employee Provident Fund) withdrawal. Find out when TDS applies, how to avoid it with Form 15G/15H, and when withdrawal is fully tax-exempt.
Loss Set-Off & Carry Forward Calculator
Calculate how capital losses, business losses, and house property losses can be set off against income in India. Shows allowable set-off for the current year and carry-forward balance.
UK Income Tax Calculator 2024-25
Calculate your UK income tax and take-home pay for 2024/25. Covers England, Wales, NI, and Scottish income tax bands including the personal allowance taper.
UK National Insurance Calculator 2024-25
Calculate your UK National Insurance contributions for 2024/25. Covers Class 1 employee NI and Class 2/4 self-employed NI with accurate rates.
UK Stamp Duty Calculator 2024-25
Calculate stamp duty (SDLT, LBTT, or LTT) on UK property purchases for 2024/25. Covers first-time buyers, home movers, and additional properties in England, Scotland, and Wales.
UK Capital Gains Tax Calculator 2024-25
Calculate UK Capital Gains Tax (CGT) on shares, property, or other assets for 2024/25. Uses the £3,000 annual exempt amount and correct rates for basic vs higher rate taxpayers.
Results are estimates for informational purposes only and do not constitute professional financial, medical, legal, or technical advice. Read full disclaimer →