The investment qualifies for exemption from income tax under section 80C of the Income Tax Act. The investment qualifies for exemption from income tax under section 80C of the Income Tax Act. The interest income under SCSS at present is fully taxable,” said Soumya Kanti Ghosh, group chief economic advisor, SBI, in a note. According to the RBI Bulletin, SCSS scheme had an outstanding of Rs 67,394 crore as of November 2019, against Rs 50,840 crore a year ago. Except in 2014-15, the government has issued tax free bonds of Rs 1.45 lakh crore during 2012-16 to finance infrastructure projects.

Source: The Telegraph April 16, 2020 20:26 UTC