New Delhi, Oct. 21 -- Government securities (G-Secs) are debt instruments issued by the Central and State governments to raise funds for public expenditure and other financial requirements. Investors who purchase these securities lend money to the government and receive interest, where applicable, along with repayment of the principal at maturity.

The tax treatment of G-Secs depends on the type of security, the investor's residential status, and the nature of the income earned. Here's what you need to know.

Indian investors may earn returns through interest payments or profits from selling securities at a higher price. The tax treatment varies across different instruments.

T-bills are issued at a discount and redeemed at their face val...