Find how much gold you can hold as per Income Tax Rules

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The Union government is understood to be mulling a plan to put a limit on the amount of unaccounted gold one can hold. Reports asserted formerly that the government was planning to inaugurate a gold amnesty scheme and that those holding unaccounted gold beyond a certain limit would be penalized. In this article, we will discuss on Find how much gold you can hold as per Income Tax Rules.

Notification on Income Tax Rules

Experts asserted that there is no limit on the amount of gold jewellery or ornaments citizens of India can hold, provided they can explain the source of income that allowed them to invest in gold. Regardless, there are separate limits for men and women on the unaccounted gold.

According to the Central Board of Direct Taxes (CBDT), there is no limit on the holding of gold jewelry or ornaments for a citizen of India if s/he can clarify the source income which allowed her/him to invest in gold.

Chief Mentor & Leader, Corporate Secretarial & Legal, Sameer Mittal & Associates LLP, stated As per the Central Board of Direct Taxes (CBDT) clarification vide its circulars dated 01 December 2016, there is no limit on holding of Gold Jewellery or Ornaments by anybody provided they have adequate justification regarding the source of income from which the gold is acquired.

Additional Clarification by CBDT

CBDT had clarified that jewelry and ornaments to the extent of 500 grams for married lady, 250 gms for unmarried lady, and 100 gram for male will not be seized, even if prima facie it does not appear to be approximating the disclosed income records of that individual. Therefore till the time the basis of income for the acquisition of gold is in place, the assessee shall not be amazed by any raid by income tax.

The household gold depot limit in India is various for married women, unmarried women, and male members. A married woman can have up to 500 grams of gold, and a bachelorette can have up to 250 grams of gold, even if they fail.

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