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Step-by-step procedure
Five steps per the procedure infobox.
Post-purchase
Bond appears in your demat (CDSL or NSDL).
Coupons credited to your linked bank per the bond’s schedule.
Maturity: Principal credited on the maturity date.
Tax
Coupon: Interest income at slab rate.
TDS: May be deducted by issuer above thresholds.
Capital gain on sale: STCG (slab) / LTCG (per FY rules).
For complex tax situations or large allocations, consult a Chartered Accountant.
How to modify or cancel a G-Sec bid placed via Kite before the auction cut-off. Explains the window and the steps.
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