The GST levied on gold is 3%. Additionally, there is a tax of 5% on making charges of gold ornaments. Before the new tax regime was implemented, the tax on gold was 1% service tax and 1% VAT.
What is BIS Hallmarked Gold?
A hallmark in a gold ornament is a guarantee of the yellow metal’s purity. Those ornaments hallmarked by the Bureau of Indian Standards will have the BIS logo. This indicates that the gold has been verified at the National Standard Body’s laboratories. It is however, vital to note that BIS hallmarking is not compulsory. Some jewellers in the city may offer their in-house hallmarking of jewellery. Prior to buying gold ornaments, buyers are advised to check with the jeweller if they offer BIS hallmarked ornaments.
