How much Gold jewellery you can bring from Dubai without drawing taxmen's ire in India | The Financial Express

How much Gold jewellery you can bring from Dubai without drawing taxmen’s ire in India

While buyers are looking for offers and discounts on Gold purchases, some families are even asking their members living in Dubai to bring some Gold with them when they return home for festivals.

How much Gold jewellery you can bring from Dubai without drawing taxmen’s ire in India
Know how much Gold you can bring from Dubai without tax scrutiny

With the start of the festival season, Gold jewellery buying in India has started picking up and it is expected to gain further speed in the days leading to Diwali. While buyers are looking for offers and discounts on Gold purchases, some families are even asking their members living in Dubai to bring some Gold with them when they return home for festivals. However, there are some tax implications for bringing Gold jewellery from Dubai. (Check today’s Gold rate)

If you are in Dubai and planning to bring gold jewellery with you during your return journey then you should know the following facts and tax rules:

Not much profit in importing a large amount of Gold Jewellery

The price of gold is generally lower in Dubai compared to India. But importing large amounts of jewellery from Dubai may not be very profitable because of cost multipliers like making charges, import duty, currency conversion costs, tax rules and GST, according to experts.

Also Read: 5 reasons to avoid buying Digital Gold

How much gold jewellery is allowed without tax scrutiny

Under Indian tax rules, individuals are allowed to bring a very small amount of gold jewellery from foreign markets like Dubai without tax scrutiny.

Gold and silver from foreign markets can be brought only in the form of jewellery/ornaments. Indian laws do not allow the import of Gold or silver in any form other than ornaments.

Tax experts say that a male Indian passenger, who has been residing abroad for over 1 year, can bring up to 20 grams of jewellery worth Rs 50,000, free of duty in his bonafide baggage. A lady passenger can bring up to 40 grams of Jewellery with a value cap of Rs 1 lakh.

Also Read: Top 5 emergency situations where a Gold loan can help You

The limits prescribed by the Central Board of Indirect Taxes & Customs (CBIC) for an Indian passenger coming back to India after a period of more than 1 year are detailed as follows:

Gender of PassengerDuty-free import limit (Aggregate Value)Maximum value (INR)
Male20 grams of gold jewelleryRs. 50,000
Female40 grams of gold jewelleryRs. 1,00,000

“The Central Board of Indirect Taxes and Customs (CBIC) in India prescribes the limit on the quantum of gold that can be imported into India without drawing Taxmen’s ire. However, CBIC has allowed duty-free allowance on gold only in the form of jewellery and other forms such as coins, bars, bullions etc. are disallowed,” says Dr Suresh Surana, Founder, RSM India.

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First published on: 09-10-2022 at 18:29 IST