When is the next electoral bonds sale? Know date, features, who can invest

With three days left for the new year 2019, the Finance Ministry has given an early gift to Indian citizens who are looking forward to buy electoral bonds. The ministry stated that, the seventh phase of sale of electoral bonds will begin from January 01, 2019 and will be available for subscription till January 10. The ministry has authorized largest lender State Bank of India (SBI) to issue to issue and encash the VII Phase of sale of Electoral Bonds through its 29 Authorized Branches. 

According to the ministry, the Electoral Bonds shall be valid for fifteen calendar days from the date of issue and no payment shall be made to any payee Political Party if the Electoral Bond is deposited after expiry of the validity period. 

The Electoral Bond deposited by an eligible Political Party in its account shall be credited on the same day.

Electoral bonds may be purchased by a person, who is a citizen of India or incorporated or established in India. 

A purchaser will be allowed to buy electoral bonds only on fulfilment of all KYC norms and by making payment from a bank account. 

However, the purchaser will not carry name of the payee. 

These bonds will have a life of just 15 days, and during this time only a citizen can make a donation to political parties. 

Parties, whom a citizen chooses to make donation, must be registered under section 29A of the Representation of the Peoples Act, 1951 (43 of 1951) and have secured not less than 1% of votes polled in the last general or Legislative Assembly elections. 

Interest-free electoral bonds for political funding can be purchased from SBI in multiples of Rs 1,000, Rs 10,000, Rs 1 lakh, Rs 10 lakh and Rs 1 crore.

Additionally, a 30 days period shall be specified by the government in the year of general election.

Eligible party can encash the bonds only through a designated bank account with an authorised bank.  Investments in electoral bonds will be exempted from tax.