Govt withdraws key bank tax benefit on gold, silver and platinum imports

AKD 1 min read

I’ll extract and rewrite the article into proper news format.
I’ll extract the article content.

Let me look further for the article end.

Revenue Secretary Arvind Shrivastava said the exemption from paying IGST on precious metals imported through banks was not extended beyond March 31. The decision, which was implemented starting April 1, puts all gold and silver import routes on an equal tax footing.

“We do not have tax becoming a reason for one route being preferential to another,” Shrivastava told reporters in New Delhi on Thursday, adding that the GST Council was informed of the move at its meeting.

Some importers have already been paying the tax over the last few months after the government allowed a list of exemptions to expire. The Directorate General of Foreign Trade (DGFT) later issued a new list of authorised importers on April 17, but the tax exemption notification was not updated, according to a Bloomberg report.

The waiver, first introduced for gold in 2017 and later extended to silver and platinum, spared importers from paying IGST and was designed to ease the flow of bullion through approved traders.

India tightly controls gold imports. Most shipments arrive through authorised banks and nominated agencies, while eligible jewellers can import through the India International Bullion Exchange. The levy will tie up more working capital for these importers.

(With inputs from agencies)