Gold limit in India as per income tax rules: Do you know how much gold you can keep at home, because the government has set a limit on this as well and there are different tax rules for keeping gold at home? Tell that the amount of gold or gold ornaments can be kept in the house, for this the government has made some rules which are necessary for everyone to follow.
Gold is evergreen, so everyone wants to possess it. In the form of ornaments, coins or biscuits. Now the trend of digital gold and gold bonds is also fast. In India, people like to keep gold in their homes. But do you know how much gold you can keep at home, because the government has set a limit for this as well and there are different tax rules for keeping gold at home.
The government has made some rules for the amount of gold or gold ornaments that can be kept in the house (Gold limit in India as per income tax rules) which is necessary for everyone to follow. But most of the people do not know that there is a prescribed amount of gold to be kept in the house. So let us tell you.
Experts say that while buying gold or its jewellery, always keep in mind that its bill has to be taken and that bill should always be kept carefully. A circular of the Central Board of Direct Taxes says that there is no limit to keep gold jewellery, but you will have to tell its source as well. Because if there is any tampering or disturbance in the proof, then your gold can be confiscated.
CBDT rules regarding gold
CBDT has some rules regarding who can keep how much gold in the country. According to this, you can keep gold above this limit as well, but you should have the answer from where you got this gold. The rules also state that officers cannot seize gold jewelery or ornaments found from a house during a search operation, provided their quantity is less than the prescribed limit, or the source must be genuine.
Who can keep how much gold
- A married woman can keep up to 500 grams of gold with her.
- An unmarried woman can keep up to 250 grams of gold with her.
- A man can keep up to 100 grams of gold with him.
Tax rules for gold
If you have bought gold from your income which you have disclosed, or if you have bought gold from the money earned from farming, then it will not be taxed. Apart from this, if you have bought gold by saving from your household expenses or you have inherited gold, then you will not have to pay tax on it. Although the source of gold should also be known. But you have to pay tax on selling the kept gold. If you sell gold after holding it for three years, long-term capital gains tax at the rate of 20% will have to be paid on the income from this sale. If you sell gold within three years of buying it, then the income from it will be added to your total income, and will be taxed according to the tax slab you fall under as a taxpayer.
