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Major Decision on Gold and Silver! GST Council to Review Import Tax Exemptions
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News18•06-10-2026, 07:59
Major Decision on Gold and Silver! GST Council to Review Import Tax Exemptions
- •The central government is preparing for a major decision on precious metals, with a high-level GST Council meeting scheduled for October 7.
- •The council will consider a proposal to completely withdraw the IGST exemption currently given to banks and government-approved nominated agencies on gold, silver, and platinum imports.
- •The primary objective of removing this exemption is to ensure a level playing field and increase transparency across the trading sector.
- •India is the world's second-largest consumer of gold, and heavy imports of precious metals put significant strain on the country's foreign exchange reserves.
- •Earlier in May, the government hiked import duties on gold and silver from 6 percent to 15 percent to curb rising imports.
Key Questions Answered
The GST Council is considering a proposal to completely withdraw the Integrated GST exemption currently available on the import of precious metals made through banks and government-approved nominated agencies.
The main objective is to provide a level playing field for all participants in the trading sector and tax system by bringing regular silver traders, banks, and agencies on the same footing.
During the current financial year from April to August, gold imports increased by 3.38 percent, reaching a total import value of about $17.47 billion.
