No new tax-free bonds issued since 2016. Here’s how to tap existing ones for tax-free income
Tax-free bonds, last issued in 2016 by PSUs, remain attractive due to their post-tax returns exceeding those of fixed deposits. Investors can access these AAA-rated bonds through wealth managers, stock market platforms, or online bond platforms. With interest rates ranging from 5.5% to 6% tax-free, these bonds offer liquidity and potential capital gains in a declining interest rate environment.