What is GST on Gold

what is gst on gold?

That’s a great question and one I had myself the first time I went to buy gold jewellery. So, here’s what I understand from GST on gold:

When you walk into a jewellery store, the price tag on gold isn’t just the metal’s cost. It includes base gold rate, making charges, and taxes. The government applies 3% GST on the value of gold and an additional 5% GST on the making charges (which cover the craftsmanship and design work).

When I buy gold, I always check if the jeweller has clearly mentioned these components on the bill. That’s the easiest way to know you’re paying the right tax and not being overcharged.