Gold-Silver Storage Rule: Buying gold and silver has been an old method of savings and investment in Indian families. People buy gold jewelery on weddings, festivals and other special occasions. Many families also have ancestral jewellery. But have you ever wondered how much gold is legally allowed to be kept at home? Can gold be seized from your house during Income Tax Department raid?
Recently the Supreme Court has made an important comment regarding gold. The court has said that despite the exemption to keep gold, the source of income will have to be disclosed. In such a situation, it is important to understand the rules of the Income Tax Department regarding keeping gold and silver at home.
How much gold for married woman, unmarried woman and man?
According to the Central Board of Direct Taxes (CBDT), gold jewelery up to the prescribed quantity is usually not seized during Income Tax Department raids. For this, the quantity has been fixed in different categories.
- Married women: Gold jewelery up to 500 grams
- Unmarried women: Gold ornaments up to 250 grams
- Men: Gold jewelery up to 100 grams
This rule does not apply differently to men on the basis of being married or unmarried, i.e. there is a limit of 100 grams for both.
Will there be any problem in keeping more than 500 grams of gold?
There is no maximum legal limit for keeping gold of 500 grams, 250 grams and 100 grams. This means that jewelery up to a specified quantity will generally not be confiscated during Income Tax Department raids. According to the rules, any person can keep gold ornaments purchased from his legitimate earnings. There is no limit on maximum quantity for this. Inherited gold jewelery can also be kept. If someone has more than the prescribed quantity of gold, he may have to prove its source through purchase bill, inheritance documents or other evidence. Apart from this, the raiding officers may also decide not to seize gold jewelery beyond the prescribed limit considering the financial condition, customs and traditions of the family.
How much silver can you keep at home?
Like gold, there is no fixed maximum legal limit for keeping silver, that is, silver utensils, jewelery and other items can be kept in the house. However, if there is a large amount of silver, it may be necessary to provide information about its source. It is better to keep purchase bills, documents related to inheritance or gifts safely.
What to do to avoid income tax raid?
When purchasing gold and silver, keep the receipt for the same. Also keep documents related to jewelery received at a wedding, gold inherited from the family and jewelery received as a gift safe. With this, if needed, you will be able to tell where the gold and silver have come from.
Source: ndtv.in
