Keep 1.25% GST on bullion, jewellery: GJC

All India Gem & Jewellery Domestic Council (GJC), the premier body for jewellers, has urged the government to rationalize the Goods and Services Tax (GST) on bullion and precious ornaments, reducing it to 1.25% from the current 3% to ease the burden on consumers and boost sales.

- FPJ NEWS SERVICE

When GST was first introduced in July 2017, the price of 24-carat gold was hovering around ₹28,439 per 10 grams. Based on this price level, the GST Council set the GST incidence rate on bullion and precious ornaments at 3%, despite the earlier indirect tax structure (Excise + VAT) being effectively 1% and with Excise Duty implementation in 2016, with applicability on only those jewellers having turnover of 10 crores and above, giving ease to almost 80 to 85% of the industry as they did not fall under the purview of Excise Duty. Hence, under this pr