What are the two primary ways investors generate income from bonds?

Dividends and capital gains Interest and dividends Interest and capital gains Capital gains and royalties

How are capital gains from the sale of listed bonds taxed in India if the holding period is longer than 12 months?

Taxed at the applicable slab rate Taxed at a rate of 20% without indexation Taxed at a rate of 10% without indexation Completely tax-free

Which of the following is a key characteristic of tax-free bonds in India?

They offer a guaranteed minimum return They are primarily issued by private companies Investors do not pay any tax on interest earned from these bonds They are only available to institutional investors

What type of bonds allows individuals to save taxes by investing the sale proceeds of long-term capital assets like land or buildings?

Zero Coupon Bonds Tax-free Bonds 54EC bonds Regular Taxable Bonds

What distinguishes Zero Coupon Bonds from other bond types?

They are only issued by private corporations They offer significantly higher interest rates They do not pay any interest but are issued at a discount They are only available to high-net-worth individuals