Tax free bonds come with a lot of attractive benefits. Listed below are the major benefits offered by tax free bonds:

• Investors can enjoy tax benefits by investing in tax free bonds. These bonds are 100% tax free. The interest income received from these bonds is calculated as a part of your total annual income.
• You get higher interest rates on your invested amount. Tax free bonds provide good returns on your investments.
• Interest is paid on these bonds annually. It gets directly credited in the bank account of the investor.
• Tax free bonds provide steady returns for longer terms such as 10 and 20 years.