Gems, jewellery industry urges government to reduce GST to 1.25% on bullion, ornaments: GJC chairman
All India Gem and Jewellery Domestic Council (GJC) chairman Rajesh Rokde has said that the gems and jewellery industry has urged the government to rationalise the Goods and Services Tax (GST) on bullion and ornaments by slashing it to 1.25 per cent from the current 3 per cent to boost sales. He said the jewellery industry has been burdened with high taxation rates, negatively impacting businesses and encouraging unregulated trade.
Further explaining, he said a core principle of GST determination was revenue neutrality, ensuring that taxation levels remain equivalent to pre-GST rates and based on the past indirect tax structure, the revenue-neutral rate for the gems and jewellery industry should be 1.25 per cent, not the current 3 per cent.
He added that lowering the GST would encourage domestic manufacturers, boost job creation, and position India as a global hub for jewellery making.
