Q735. Taking Gold to India from

Abroad by or NRIs & Foreigners

visiting India

Question: My grandson and family and I are planning to visit India from USA for about two months in May 2015. We have a few functions to attend in India and my wife is planning on taking some of her jewellery to use during the formal functions. I have read various conflicting reports on taking gold to India. Some govt sites even still say 10 kg of gold can be taken where as others say it is 1 Kg. How much jewelry can be taken without any hassles at the Indian airport by customs people about duty etc., Will appreciate a response. Thanks for the other information on your faq pages. It is very helpful but I am confused about this gold allowance subject. regards. A. Patel Answer: Since you have taken the time to write, let me try and explain the current situation regarding taking gold jewellery to India from abroad, even though this type of question has been dealt with on this website before.

Taking Gold to India from Abroad by

Indian residents or NRIs and

Foreigners visiting India

There appears to be misconception that NRIs can take duty free allowance for taking gold/jewelry to India. Some people probably may assume that reference to gold and gold jewelry imports are the same thing. Gold and gold jewelry are treated differently when it comes to customs duty assessment in India. • There is no duty free allowance when a person takes gold bars to India. • On the other hand, there is a customs duty free allowance on gold jewelry taken to India.

Customs Duty in India on Gold bars

There is no free allowance on gold bars taken to India. The current duty on gold bars that bear the manufacturers or refinery’s engraved serial number and weight in metric units is 4%. Gold coins that have a gold content of at least 99.5% also are charged customs duty in India @4%.

Customs duty on gold Jewelry, gold

ornaments and tola bars taken to India

from abroad.

Gold in any other form than gold bars mentioned above, such as gold jewelry, ornaments etc. (excluding ornaments studded with stones or pearls) as well as gold tola bars are currently charged customs duty @10%.

Who can take gold bars to India?

Indian citizens and persons of Indian origin such as OCI holders who are returning to India after an absence of at least six months* can import gold as part of their baggage. For importing gold as baggage: • Current rate of duty as mentioned above is 4%. • There is NO duty free allowance • Total weight of gold plus any ornaments should not exceed 1 kg. Per passenger. • Customs duty for gold brought to India must be paid in foreign currency. *For purpose of calculating the six month stay abroad. A short fall of up to 30 days may be ignored by the authorities in case the passenger has visited India for short periods during their stay abroad.

Who can take gold jewelry to India?

NRIs who have been residing abroad for over one year, are allowed to take gold jewelry to India as baggage. • Note absence of at least ONE year required to qualify for duty free allowance. • Current duty free allowance for taking gold jewelry to India from abroad by NRIs who have been residing abroad for over one year is Rupees 50,000/- for gentlemen passengers and Rupees. 100,000/- for lady passengers. In case the aggregate value of the jewelry is more than the duty free allowance, then duty is charged on the amount exceeding the duty free allowance. The rate of duty currently is 10%. (As per: Notification No. 12/2012- Cus dated 17.03.2012). Please note: Changes to customs duties and import regulations effecting specific items can be made at any time by the government of India. The url for the Indian customs website is provided here for additional and current information: http://www.cbec.gov.in/

Indian residents taking gold abroad

Indian residents who travel abroad for holidays etc. should get a export certificate from the Indian customs before departure. This ensures they will not face any questions as to the origin of the gold jewellery in their possession when they return to India. Passengers passport information and valuation of gold is noted on the export certificate by the customs officers at point of departure.