How much gold can Indians keep at home?

In places like India, where women are obsessed with Gold, makes it one of the most popular assets. Almost every family in India possesses some amount of gold, whether it is in the form of jewellery, gold coins, gold bonds or modern investment plans. People consider it as a status symbol of good fortune and wealth in the country.

Gold Storage

In India, there's no legal limit on the amount of gold you can store at home, as long as you can demonstrate you acquired it through legitimate means. The key thing is explaining the source of income if questioned by the tax authorities.

However, there are limits on the amount of gold jewellery you can hold without any tax paperwork. These limits are:

• Married women: Up to 500 grams of gold
• Unmarried women: Up to 250 grams of gold
• Men (married or unmarried): Up to 100 grams of gold

It's important to remember that these are limits specifically for unaccounted gold. If you have documentation to prove you purchased the gold with a legitimate income, you shouldn't face any tax issues regardless of the quantity.

How much gold you can keep at home?

According to the guidelines by the Central Board of Direct Taxes (CBDT), there is no specified amount of gold that can be kept at home, whatever amount of gold that you keep, you must have the proof of how you obtained it.

Are you liable to pay tax on gold keeping gold?

A person need not be required paying tax on gold kept at home, if selling, then one must have to pay tax on it.

How much tax a person has to pay?

If Sovereign Gold Bonds (SGB) are sold within three years, then the profit is added to the seller's income and income tax is imposed as per the tax slab. And, in case the same is sold after three years, the profit is calculated at the taxed rate of 20% indexation and 10% without indexation. And if the bond holds maturity, then there is no tax on the profits.