Queries on KVP?

[Natraj]

1- One of my friend is living in USA. Can he invest in KVP.

No, The Non Resident Indians are not eligible to purchase Kisan Vikas Patra.

2- How often interest will be paid or compounded till maturity?

Rate of interest 8.40% compounded annually.

3- Will TDS be deducted at the time of maturity for interest portion?

Interest income taxable but no TDS.

[Rahul]

Rate of interest 8.40% compounded annually.

I don't think the ROI is correct.