Details on tax-free infra bonds expected by April: Fin Secy

The Finance Ministry will decide in two months on quantum of funds that could be raised by the companies in railways and road sector through tax-free infrastructure bonds.
"Tax-free infra bonds are meant for road and rail sector. The limit will be decided by March or April," Finance Secretary Rajiv Mehrishi told reporters here.
Finance Minister Arun Jaitley in his Budget last week had proposed to raise funds for railways, roads and irrigation sectors by issuing tax-free infrastructure bonds.
Tax payers are eligible to claim income tax deduction for investments in these long-term infrastructure bonds. The issuance of bonds helps in channelising domestic savings into the infrastructure sector.

Investments to the tune of Rs 70,000 crore in the infrastructure space will happen in 2015-16.
The Budget has also increased outlays on both the roads and the gross budgetary support to the Railways, by Rs 14,031 crore and Rs 10,050 crore, respectively.