Impact of Budget 2023 on Gold and other precious metals

The customs duties on goods made of precious metals like gold, silver, and platinum were raised by the Budget 2023.

The customs duty rate has gone up from 20% to 25%.

Additionally, the rate of duty on imitation jewellery has also been increased in this budget. 

The revised customs duties are as below.

Capital gains on Gold:

It is proposed that the conversion of physical gold into an Electronic Gold Receipt and vice versa would not be considered as a transfer. Hence these transactions will not attract any Capital Gain tax.

This move is to encourage investments in digital gold.