📷 Image: Wikimedia Commons / Ministry of Finance of India
Business
India Removes Gold Import Tax Exemption, Boosting Costs for Buyers
✍️ Bloomberg.com
🗓 09 Oct 2026, 07:19 AM
👁 18
The Indian government has scrapped a key tax relief for gold imports, raising the effective duty on imported gold.
The Ministry of Finance announced that it will no longer provide the tax exemption on gold imports effective from the fiscal year 2024-25.
The removal of the exemption will raise the effective duty on imported gold, increasing costs for both consumers and businesses that rely on imported bullion.
Officials say the decision aims to curb gold smuggling, reduce the fiscal deficit and encourage domestic production of gold.
Market analysts warn that the change could push up retail gold prices and reduce import volumes as traders adjust to the higher duty.
The removal of the exemption will raise the effective duty on imported gold, increasing costs for both consumers and businesses that rely on imported bullion.
Officials say the decision aims to curb gold smuggling, reduce the fiscal deficit and encourage domestic production of gold.
Market analysts warn that the change could push up retail gold prices and reduce import volumes as traders adjust to the higher duty.