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Budget 2018: Gems & jewellery sector seeks cut in gold duty to 4%

This cut will address issues under the GST regime in the coming Budget

Press Trust of India  |  Mumbai 

Gems & Jewellery sector on Budget 2018
Refineries importing gold will be audited by auditors trained by experts

Looking to give a positive push to the and sector, industry body has urged the government to reduce the import duty on to 4 per cent and also address issues under the in the coming 2018.

"Lowering the duty to 4 per cent from 10 per cent will not only boost customer demand and uplift business sentiment for the trade, but also help industry become more organised and compliant," All India and Trade Federation (GJF) chairman Nitin Khandelwal said in the representation to the government.

The reduction in import duty will also help in the fight against black money, he added.

The 10 per cent duty on was levied to curb current account deficit (CAD), however, the country's trade deficit narrowed more than expected to $12.96 billion in June, he said.

Further, Khandelwal said, there are some issues under the current GST regime, which is hampering the industry that the government needs to look into.

He said, under GST inter-state supply of services by job workers (karigars) who are unregistered, that is, having turnover below Rs 2 million in a financial year should be allowed.

"Retail customers are reluctant to share their residence address, so we request the government to increase the invoice value to a minimum of Rs 200,000 from the current Rs 50,000," he further added.

The industry body also asked the government to increase the cash purchase limit to at least Rs 100,000, which is kept at Rs 10,000.

Further, Khandelwal said, the government should enable jewellers to sell Ashoka Chakra coins through their retail stores, which will increase the reach and generate more sales of the coins.
 

First Published: Fri, January 12 2018. 18:28 IST
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