Stocking Gold at home? Brief details about its limit, Government taxes, and rules
In India, purchasing gold is considered lucky, especially during festivals. From gold coins to jewelry, we prefer to stock it at home. Along with keeping gold at home safe, it’s crucial to be informed of the regulations that the government has established.
As per the Central Board of Direct Taxes (CBDT), if someone buys gold with disclosed income, adequate household savings, or exempted income, then it’ll not be chargeable to tax. There is no such limit on holding gold as long as it was obtained using a legitimate, documented source of income. It should be clear that gold is not taxed while held; the same rule does not apply when sold.
If a person wants to sell gold after less than three years, it will be subject to short-term capital gains tax (STCG) and long-term capital gains tax (LTCG) if the gold is sold after more than three years.
Important Points to Remember:
- Unmarried women are allowed to store up to 500 grams of gold, while married women can store up to 250 grams.
- Male family members can carry up to 100 grams of gold.
- If an individual receives gold from his relatives or friends, it will not be subject to tax.
