Who should open a CGAS account?

Anyone who has earned capital gains from the sale of specified assets and wishes to claim tax exemption under Sections 54 to 54GB of the Income Tax Act should consider opening a Capital Gains Account.

What types of accounts are available under CGAS?

Two types of accounts can be opened: For flexible withdrawals and deposits. Type A – Savings Account: For fixed tenure deposits with higher interest rates (same as prevailing standard Fixed Deposit rates). Type A is mandatory for opening Type B. Type B – Term Deposit:

Can I open a joint CGAS account?

No, joint accounts are not permitted under CGAS. Each depositor must open a separate account.

Can I use my existing savings account for CGAS?

No, an existing savings account cannot be converted into a CGAS account. A new account under CGAS must be opened as per prescribed guidelines.

What are the interest rates applicable to CGAS accounts?

Interest rates are the same as regular savings and term deposits.No additional interest rate benefit applicable for senior citizens.

Is online banking available for CGAS accounts?

No, Internet banking and mobile banking viewing access are allowed for CGAS accounts. However, all transactions must be done through the branch.

Can I withdraw money from my CGAS account?

Yes, withdrawals are allowed only for specified purposes under the Income Tax Act. You need to submit Form C for withdrawal and Form D detailing how the withdrawn amount was used. Unused funds must be redeposited within 60 days.

How much cash can I withdraw from my CGAS account?

Up to ₹25,000 can be withdrawn in a Financial Year.

Is premature closure of a Type B Fixed Deposit allowed?

Yes, premature closure and partial withdrawal are permitted. Premature withdrawal penalty will be levied. Closure amount will be transferred only to the Type A account.

Can I take a loan against my CGAS deposit?

No, loan or overdraft facilities are not allowed against CGAS deposits. These accounts cannot be used as collateral or margin money.

How can I close my CGAS account?

To close the account, you must obtain approval from your Income Tax Assessing Officer and submit Form G (or Form H in case of nominee/legal heir closure) along with required documents at the branch.

By when should I deposit the capital gains amount?

You must deposit your capital gains into a CGAS account for the financial year in which the asset was sold. before the due date for filing your income tax return

Capital Gains Account Scheme

Overview

IndusInd Bank is now authorized to accept deposits under the Capital Gains Accounts Scheme (CGAS), 1988. This scheme provides Customers a convenient way to park their capital gains until reinvestment, and claim tax exemptions as per the provisions of the Income Tax Act. It is applicable to gains arising from the sale of capital assets such as:

Residential houses and flats
Farmhouses
Agricultural land
Urban land
Land in Special Economic Zones (SEZs), etc.

By opening a CGAS account with IndusInd Bank, you can ensure compliance with tax regulations while planning your reinvestment effectively.

Features

Two Account Types for Flexibility
- Type A – Savings Account: Ideal for liquidity and multiple deposits/withdrawals.
- Type B – Term Deposit: Fixed tenure with higher interest rates (same as regular Fixed Deposit) for long term security.
Tax-Saving Advantage
Park your capital gains under CGAS and avail tax exemptions as per Sections 54 to 54GB of the Income Tax Act.
Interest Benefits
Earn interest at prevailing savings or term deposit rates.
Convenient Access Across India
Visit your nearest IndusInd Bank branch to get assistance with opening your CGAS account.
Digital view access
Monitor your account anytime via Internet and Mobile Banking.

Types of Capital Gains Account

Type A – Savings Account

No minimum balance requirement
Passbook provided for easy tracking
No debit card or cheque book services
Interest is computed on the daily end of day balance and paid quarterly
Monthly e-statement on registered email ID
Single-holder account only; joint accounts not permitted
Multiple modes of credit permitted
Cash withdrawal allowed up to ₹25,000
Up to 3 nominees allowed
NRO Capital Gains Savings Account for NRI customer

Type B – Fixed Deposit Account

Type A – Savings Account is mandatory before opening
Minimum deposit amount ₹10,000
Flexible Tenure options ranging from 7 Days to maximum 3 Years*
No additional interest rate benefit for senior citizens
Premature closure and partial withdrawal allowed (penalty applicable)
Proceeds on maturity or closure credited only to linked Type A account
No loan facility or overdraft available against Capital Gains Fixed Deposit
Up to 3 nominees allowed

*FD tenure will be based on the prescribed reinvestment period for the asset type.

Eligibility Criteria

Capital Gains Account under this scheme can be opened by:

Resident Individuals
Hindu Undivided Families (HUFs)
Non-individual entities – Sole proprietorship firms, Partnership firms, companies, AOP
Non-Resident Indians (NRIs)
Resident but Not Ordinarily Resident (RNOR) individuals
Minors (account operated by guardian)

Documentation Required

For account opening	For account closure
Duly filled Form A (application for opening CGAS account)	Duly filled Form G (Closure form)
PAN Card (mandatory)	Approval from the concerned Income Tax Assessing Officer
Self-attested Officially Valid Documents (OVD) for KYC	Other applicable documents
Latest passport-size photograph
Sale Deed / transfer deed
Nomination Form (Form E), as applicable
Other applicable documents

Important Information

Joint accounts are not permitted to be opened under this scheme
Type A account is mandatory for opening Type B account
Capital Gains must be taxable in India to be eligible for investment in CGAS
One account (Type A and Type B) can only be used for one sale proceed.
For multiple sale proceeds different accounts to be opened, even if the asset being sold is under the same section of Income tax.
Customers who wish to avail the benefits under the CGAS need to park their asset sale proceeds before the due date for filing income tax return for the year in which the asset was sold.

Fees & Charges

When you sign up for IndusInd Bank Capital Gains Savings Account, certain fees and charges may be applicable. These charges are nominal, transparent and disclosed by IndusInd Bank upfront so that you know what you are paying or being charged for.

Click here to view the detailed Schedule of Charges for this account variant.
Click here to read the Terms & Conditions related to the Capital Gains Account Scheme.
Click here for the complete Savings Account Terms & Conditions.

Capital Gains Account Scheme FAQs

Who should open a CGAS account?

Anyone who has earned capital gains from the sale of specified assets and wishes to claim tax exemption under Sections 54 to 54GB of the Income Tax Act should consider opening a Capital Gains Account.
What types of accounts are available under CGAS?

Two types of accounts can be opened:
- Type A – Savings Account: For flexible withdrawals and deposits.
- Type B – Term Deposit: For fixed tenure deposits with higher interest rates (same as prevailing standard Fixed Deposit rates). Type A is mandatory for opening Type B.
Can I open a joint CGAS account?

No, joint accounts are not permitted under CGAS. Each depositor must open a separate account.
Can I use my existing savings account for CGAS?

No, an existing savings account cannot be converted into a CGAS account. A new account under CGAS must be opened as per prescribed guidelines.
What are the interest rates applicable to CGAS accounts?

Interest rates are the same as regular savings and term deposits.No additional interest rate benefit applicable for senior citizens.
Is online banking available for CGAS accounts?

No, Internet banking and mobile banking viewing access are allowed for CGAS accounts. However, all transactions must be done through the branch.
Can I withdraw money from my CGAS account?

Yes, withdrawals are allowed only for specified purposes under the Income Tax Act. You need to submit Form C for withdrawal and Form D detailing how the withdrawn amount was used. Unused funds must be redeposited within 60 days.
How much cash can I withdraw from my CGAS account?

Up to ₹25,000 can be withdrawn in a Financial Year.
Is premature closure of a Type B Fixed Deposit allowed?

Yes, premature closure and partial withdrawal are permitted. Premature withdrawal penalty will be levied. Closure amount will be transferred only to the Type A account.
Can I take a loan against my CGAS deposit?

No, loan or overdraft facilities are not allowed against CGAS deposits. These accounts cannot be used as collateral or margin money.
How can I close my CGAS account?

To close the account, you must obtain approval from your Income Tax Assessing Officer and submit Form G (or Form H in case of nominee/legal heir closure) along with required documents at the branch.
By when should I deposit the capital gains amount?

You must deposit your capital gains into a CGAS account before the due date for filing your income tax return for the financial year in which the asset was sold.