Govt gets Rs 246 cr from gold bonds,tweaks monetisation scheme

Government today said Gold Bond scheme got overwhelming response from retail investors with 63,000 applications amounting to Rs 246 crore, while the gold monetisation scheme, which has so far witnessed a "slow response", has been tweaked.
On gold bond scheme, a Finance Ministry statement said: "This scheme saw an overwhelming response from the investors throughout the country and initial figures show that about 63,000 applications were received for a total of Rs 246.20 crore by banks and post offices for 917 kg of gold."
The first tranche of Sovereign Gold Bond, which was issued by the RBI between November 5-20 through banks and post offices, saw "overwhelming response" from retail investors.

As regards the Gold monetisation scheme, the statement said that those depositing gold under the scheme would be exempt from Income Tax and Capital Gains Tax.
It said that after stakeholder consultation following "slow response" to this scheme, the government has taken seven decision to "improve the reach of the scheme".
These decisions also include gold depositors can give their gold directly to the refiner without involving the collection and purity testing centres wherever it is acceptable to the banks. "This will encourage the bulk depositors like HUFs and institutions to participate in the scheme," it said.

Also to increase the awareness among depositors, the government will continue the campaign in print media, social media, radio and television.

The Bureau of Indian Standards (BIS) has modified the licensing condition to refiners which is likely to increase the number of licences gold refiners to nearly 20.
"BIS has invited applications from the more than 13,000 licensed jewellers to act as a Collection and Purity Testing Centres (CPTCs) in the scheme provided they have tie-up with BIS's licensed refiners," the statement added.
BIS is expected to complete the registration of 55 numbers of CPTCs by the end of December.