Now, on selling old gold or gold jewellery, you may have to pay 3 percent Goods and Services Tax (GST). This can be decided in the next council of GST. Finance Minister Thomas Issac of Kerala has given this information. This means that if people sell old jewellery, profits will be reduced.
Minister Thomas Issac has said that recently a proposal has been accepted in which Goods and Services Tax of 3 percent have to be paid by the consumer on the sale of old gold and jewellery in a faction (GoM) of state finance ministers. According to media reports, finance ministers from Kerala, Bihar, Gujarat, Punjab, Karnataka and West Bengal are present in this group. This ministerial group was formed to review the implementation of the e-way bill for the transportation of gold and precious gems. The ministerial group will meet via video conference.
Issac has said in this time, "It has been decided that three percent GST on the old gold cell is to be levied by RCM (reverse charge mechanism). Now the committee officials will think carefully about its modalities. That is, after the implementation of the new scheme, if a jeweller buys old jewellery from you, then he is going to collect 3 percent GST from you as a reverse fee. If you sell old jewellery worth 1 lakh rupees then three thousand rupees will be deducted as GST".
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