The Economic Times

SGB Taxation: From zero tax to Rs 2.60 lakh capital gains tax on Rs 10 lakh investment, how new Budget proposal will cost investors dearly

Budget 2026 brings a significant tax change for Sovereign Gold Bonds. Starting April 1, 2026, capital gains exemption will only apply to investors who buy SGBs at issue and hold them until maturity. Those purchasing from the secondary market will face capital gains tax. This impacts investors who previously enjoyed tax-free gains on secondary market purchases.