INDORE: Customers may have to shell out more if the government will keep the goods and services tax (GST) on gold jewellery anywhere between three and four per cent as expected by the traders. The implementation of GST on gold jewellery will make it expensive by around Rs100 per10 grams.
Hukumchand Soni, president, Madhya Pradesh sarafa association said, "Burden of additional tax liability is not good for the industry. Under the current tax structure, when just 1 per cent VAT was payable after the implementation of GST in the country, it will increase by three to four per cent."
One of the biggest tax reforms in a decade, GST aims to create a single window national taxation system abolishing the multiple tax structure.However, there is a lot of confusion in the market about GST rate on various goods and services as the final decision on it and rate of taxation on gold jewellery has still not been taken. The rates will be fixed by the GST council that compromises of joint forum of the centre and the states and would function under the chairmanship of the union finance minister and will have minister in-charge of finance/taxation or minister nominated by each of the states & UTs with Legislatures, as members.
One of the biggest tax reforms in a decade, GST aims to create a single window national taxation system abolishing the multiple tax structure.However, there is a lot of confusion in the market about GST rate on various goods and services as the final decision on it and rate of taxation on gold jewellery has still not been taken. The rates will be fixed by the GST council that compromises of joint forum of the centre and the states and would function under the chairmanship of the union finance minister and will have minister in-charge of finance/taxation or minister nominated by each of the states & UTs with Legislatures, as members.
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