Govt exempts Maharaja INR Bonds from tax deductions on interest payments

Ministry of Finance has announced interest payments on Maharaja INR Bonds issued by New Development Bank (NDB) will be exempted from tax deduction at source (TDS). The exemption, applying to resident Indians and foreign institutional investors (FIIs), will be applicable for 2026-27 and subsequent tax years. Maharaja Bonds are issued by international institutions to raise funds in Indian rupees.