No new provision in proposed I-T law to charge tax on jewellery from disclosed income: Govt

The government said no new provision regarding chargeability of tax on jewellery has been introduced.

By: Express Web Desk | New Delhi | Updated: December 1, 2016 3:58 pm
demonetisation, jewllery shops, gold sellers, gold jewellery india, gold india, india news A jewellery outlet in Zaveri Bazar, Mumbai. Express Photo/Prashant Nadkar

The government on Thursday rubbished reports that jewellery present in a household acquired out of disclosed sources or exempted income shall become taxable under the proposed Taxation Laws (Second Amendment) Bill, 2016.

In a statement issued, the government said no new provision regarding chargeability of tax on jewellery has been introduced.

“The Bill only seeks to enhance the applicable tax rate under section 115BBE of the Income-tax Act, 1961 (the Act) from existing 30% to 60% plus surcharge of 25% and cess thereon. This section only provides rate of tax to be charged in case of unexplained investment in assets,” the statement said.

The government further clarified that the jewellery/gold purchased out of disclosed income or out of exempted income like agricultural income or out of reasonable household savings or legally inherited which has been acquired out of explained sources is neither chargeable to tax under the existing provisions nor under the proposed amended provisions.

Further, the government also made reference to instruction No.1916 that provides that during search operations, no seizure of gold jewellery and ornaments to the extent of 500 grams per married lady, 250 grams per unmarried lady and 100 grams per male member of the family shall be made.

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  1. O
    Ompuri
    Dec 1, 2016 at 10:09 pm
    Modi only has his bumbuddy am it shah for partner. So he doesn't need any jewellery.
    Reply
    1. O
      Ompuri
      Dec 1, 2016 at 10:06 pm
      Only the fine ladies from Adanis and nautch girls from Ambanis are allowed to wear any jewellery in fascist india. To your ques for two thousand each goats!
      Reply
      1. M
        mumbai
        Dec 1, 2016 at 10:48 am
        The government on Thursday rubbished reports that jewellery present in a household acquired out of disclosed sources or exempted income shall become taxable under the proposed Taxation Laws (Second Amendment) Bill, 2016. hahaha the government again plays with words.lt;br/gt;jewellery present in household from disclosed sources.......now any jewel from generations and you can not show the bill etc will be charged. expect soon another surgical strike.
        Reply
        1. S
          Shekar
          Dec 1, 2016 at 4:39 pm
          BJP is worse than beggars. First empties entire nations people's pockets, now preparing to empty their tijoris. Shameful deed.
          Reply
          1. A
            ashok s
            Dec 1, 2016 at 11:41 am
            Now that means next step is tax jewellery . first I thought that its sudden move but now its seems a well planned act.
            Reply
            1. D
              Dash
              Dec 1, 2016 at 1:18 pm
              Demonetization must be supplemented by IT raids. Govt is doing this. People who fo not pay tax should use the new income disclosure scheme.
              Reply
              1. S
                Sunil Sharma
                Dec 1, 2016 at 10:19 pm
                HIS RICH DONORS and family and friends are FULLY protected the law of this bjpeeeeeeeeeeeeeeeeeee govt.lt;br/gt;Hai ram even the women is not spared .He himself deserted his family and "Wife"lt;br/gt;desh Bhakt
                Reply
                1. H
                  Harish
                  Dec 1, 2016 at 6:47 pm
                  Don't trust Modi regime which never stands on his own words and everyday changes its statements and laws for the people.
                  Reply
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