Income Tax 2024: Tax is levied even on selling gold, know how much amount will have to be paid..
Income Tax 2024: Taxpayers know very well that this time the last date for filing income tax returns (ITR filling) is 31st July. It is your responsibility to finish your work on time instead of waiting for the last date. If you do not pay tax by the last date, then a fine of up to Rs 5000 can be imposed on you. From employed people to businessmen, it is necessary to file ITR for all people. If there is a liability, then tax also has to be paid. On the other hand, even if you have sold gold, you will have to file an ITR and if there is a liability, then you may have to pay income tax (income tax on gold).
Tax is levied on all types of gold.
For information, let us tell you whether you buy physical gold (tax on gold) from a jeweler or digital gold or buy gold under the gold scheme (paper gold) coming under the government scheme. The tax has to be paid on selling it. How much tax will be, depends on how long you are selling the purchased gold. Different types of gold (physical, digital, or paper gold) have to be taxed differently.
Profit is taxed
We have often seen that people think that the amount of gold sold will have to be taxed. This is not true. The profit you make from gold is taxed on that amount. Suppose, you bought gold worth Rs 2 lakh 5 years ago. Today you sold it for Rs 4 lakh. In such a situation, you made a profit of Rs 2 lakh. Therefore, tax will be levied only on the profit of Rs 2 lakh, not on the entire Rs 4 lakh. For this, you have to introduce a bill to buy gold.
Tax is levied on both physical and digital gold.
Physical and digital gold have to be taxed in two ways. First short-term capital gains and second long-term capital gains.
Long-Term Capital Gains
If you sell gold after 3 years of buying it, then Long Term Capital Gains are levied on it. This tax has to be paid at the rate of 20 percent. In this, you also have to pay a 4 percent cess tax. This is 20 percent. In such a situation, you will have to pay a total tax of 20.80 percent.
Short-term capital gains
If you sell gold within 3 years of buying it, then you have to pay short-term capital gains tax. Whatever profit is made on selling gold, is added to your income. Then you will have to pay tax according to the income tax slab in which your income will fall.
Paper gold is also taxed.
Investors must be well aware that there are many schemes in which investment is made in gold. Here gold has to be bought not physically, but in paper form. This includes gold mutual funds, ETFs, sovereign bonds, etc. The income earned on selling these is also considered capital gains. Tax on these also has to be paid as much as on selling physical and digital gold.
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