Gold to be Separately taxed under GST regime

NewDelhi April 26: Central Government revenue secretary said that gold and Jewellery will be taxed separately and will not fall into the 4 slab structure as decided by the GST Council.

As we all know that GST Council has decided tax slabs of 5,12,18 and 28 %.The industry is still waiting to know the categorisation of individual goods and services into these slabs which will be decided by the council in May.

Secretary said that the council has not taken any decision on the tax rate of gold and jewelry and will soon take a decision on it.He indicated that it may between the range of 2-6 sure but didn't specify any rate.



Currently, gold imports carry a charge of 10 % customs duty and 1% Value Added Tax (VAT). There are lot many representations from industry in this regard to reduce overall taxation on gold so that smuggling of gold can be reduced.

The All India Gems and Jewellery Trade Association have given a representation to tax gold at as very low as 1.25%.

let's see what the government decide.