SGB 2019 Series II: Should You Redeem at ₹14,199?
RBI has set the early redemption price for Sovereign Gold Bond 2019-20 Series II at ₹14,199 per gram. Investors who bought in 2019 have made over 300% returns — but whether to exit now depends on your tax situation and gold outlook.
₹1 lakh invested in this SGB in 2019 is worth over ₹3 lakh today — more than most 5-year FDs combined.
Your 2019 SGB investment has tripled in value — but tax can eat into it
Key Takeaways
Check your SGB holding statement in your Demat account or RBI Retail Direct portal to confirm if you hold 2019-20 Series II bonds and the exact quantity.
Calculate your tax liability before redeeming — premature redemption gains are taxed as capital gains (indexed LTCG), but redemption at full maturity after 8 years is completely tax-free.
Compare the current gold price outlook with your financial goals — if you don't urgently need the money, holding until final maturity saves you the entire capital gains tax.
RBI has set the early redemption price for Sovereign Gold Bond 2019-20 Series II at ₹14,199 per gram. Investors who bought in 2019 have made over 300% returns — but whether to exit now depends on your tax situation and gold outlook.
Here's what happened: RBI fixed the premature redemption price for SGB 2019-20 Series II at ₹14,199 per gram, reflecting a massive rise in gold prices since 2019.. Investors who purchased these bonds around 2019 at roughly ₹3,400–₹3,800 per gram have seen capital appreciation exceeding 300% over five years.. SGBs have an 8-year maturity but allow premature redemption after 5 years on specific RBI-designated windows, which is what this redemption cycle represents..
What you should do: Check your SGB holding statement in your Demat account or RBI Retail Direct portal to confirm if you hold 2019-20 Series II bonds and the exact quantity.. Calculate your tax liability before redeeming — premature redemption gains are taxed as capital gains (indexed LTCG), but redemption at full maturity after 8 years is completely tax-free.. Compare the current gold price outlook with your financial goals — if you don't urgently need the money, holding until final maturity saves you the entire capital gains tax..
Redeeming SGB at the 8-year maturity window — not prematurely — makes the entire capital gain 100% tax-free under Indian tax law. Waiting 2–3 more years could save you lakhs in tax.
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- [1]“RBI fixes SGB 2019-20 Series II redemption price at ₹14,199. Should investors redeem now?” mint - money · 16 Jul 2026
This article is reported by GoCredit's Editorial Team based on the source above. GoCredit synthesises, contextualises, and adds India-borrower-relevant analysis. We are not the original publisher.