I) Sovereign Bonds


Sovereign Bonds are treated as physical gold for taxation purposes. 


Hence, long term capital gains apply for investments held for 3 years or more


For example, you have entered transactions for a sovereign bond in MProfit.



You can see in the image below that long term capital gains will apply for this bond as it is held for more than 3 years.


 


II) Other Bonds


For all other traded bonds, long term capital gains apply for investments held for 1 year or more. 


For example, you have entered transactions for a traded bond in MProfit:

 

You can see in the image below that long term capital gains will apply for this bond as it is held for more than 1 year.