NOTIFICATION
INCOME-TAX ACT
Section 10(15)(vii ) of the Income-tax Act, 1961 - Exemptions - Interest on bonds issued by local authorities - Notified bonds
NOTIFICATION NO. 52/2010 [F. NO. 164/1/2010-IT(A-I)], DATED 14-7-2010
In exercise of the powers conferred by sub-clause (vii ) of clause (15) of section 10 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby specifies the second tranche bond with the following particulars for the purpose of the said sub-clause, namely :—
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(a)
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Name of the
bond
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Tax Free Pooled Finance Development Bonds under Pooled
Finance Development Fund Scheme of Government of India
(Second Tranche)
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(b)
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Issuing
Authority
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Water and Sanitation Pooled Fund, Tamil Nadu designated as
State Pooled Finance Entity for the State of Tamil Nadu.
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(c)
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Purpose
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To part fund the projects implemented by seven Urban Local
Bodies under Water Supply Scheme and Under Ground
Sewerage Scheme of Tamil Nadu.
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(d)
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Tenure of
the bond
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Ten years with five years principal moratorium.
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(e)
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Total issue
size
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Eighty three crores nineteen lakhs only.
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(f)
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Interest
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Not exceeding eight per cent per annum.
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2. The said Bonds are specified subject to :—
(i)the conditions laid down in the Guidelines for the Pooled Finance Development Scheme notified vide Resolution No. K-14011/40/01-UD.II (Vol. III), dated 25th October, 2006 of the Ministry of Urban Development and the Guidelines for issue of tax-free Pooled Finance Development Bonds circulated vide OM F. No. K-14011/40/01-UD. II (Vol. IV), dated 7-6-2007 of the Ministry of Urban Development, and
(ii) the condition that they are issued within a period of twelve months from the date of publication of this notification in the Official Gazette.
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