How much gold can an average person keep at home, and what are the rules regarding it?
Gold Storage Rules: Keeping gold at home is common. But it's important to know the rules regarding how much gold can be stored. With the right information, you can avoid unnecessary worry.
In India, gold isn't just an investment; it's a part of tradition and culture. It's common to gift jewelry for weddings, festivals, and family occasions. Keeping this in mind, rules have been formulated to avoid inconvenience to ordinary families.
People in India have always been particularly interested in gold. Some people love to wear it, while others prefer to keep it safe at home and preserve it for future use. With rising prices, the question arises as to how much gold is safe to keep at home and what the rules say.
Many people are unsure about how much they can keep at home and what the limit is. The Income Tax Department has established rules for this purpose, which consider the total weight, not the price.
This means that the inspection isn't based on the value of the gold, but rather on the number of grams. The Central Board of Direct Taxes has set a limit. A married woman can possess up to 500 grams of jewelry, an unmarried woman up to 250 grams, and a male family member up to 100 grams.
Confiscation is generally not carried out within this limit, even if there is no bill. However, it's important to note that this exemption applies only to jewelry. If you possess gold coins, biscuits, or bars, a purchase bill or the source of purchase is required.
If the inspection reveals more gold than the prescribed limit, there's no need to panic. The department provides an opportunity to explain. Documents proving gold purchased through inheritance, gifts, or declared income can be presented. Family documents can also serve as evidence.
The law doesn't completely prohibit possessing gold. If the purchase was made from your declared income and your records are clear, there's no limit. It's best to purchase new jewelry on a bill. Keep information about old jewellery safe and keep the documents secure so that there are no problems.
