Gold can cost less in Dubai than in India.
That is why many Indians living abroad bring it home, especially around Dhanteras and Diwali.
News9Live reported this and warned that travellers must know the rules first.
According to reports cited by News9Live, one gram of 24k gold costs about Rs 12,532 in Dubai.
In Delhi, the same gram was listed at Rs 14,617.
Key points
- Duty-free allowance applies only to jewellery, not bars, biscuits or coins.
- Women who lived abroad over one year can bring 40 grams duty-free, according to the article.
- Gold above the limit attracts duty, which the article says is 15 per cent.
- Gold above the limit must be declared on the ATITHI app at least three days before arrival.
Who can bring duty-free gold, and how much?
The duty-free limit covers only jewellery.
Gold bars, biscuits and coins do not get duty-free status, whatever the passenger's status or stay abroad.
Lawyer Raheel Patel, Partner at Gandhi Law Associates, was quoted as saying something different.
He said a passenger abroad for at least six months can bring up to 1 kg of gold, including bars, coins and ornaments, by paying a concessional duty in foreign currency.
Ornaments studded with stones or pearls do not qualify for that concession.
The article also gives weight limits. A female passenger who lived abroad for more than one year can bring 40 grams.
Other passengers have a limit of 20 grams. Anyone abroad for less than a year is not eligible for duty-free gold.
So why do the limits seem confusing?
The article says the ceiling is by weight, not value. It also gives value limits.
A male Indian passenger abroad for over one year can bring jewellery worth up to Rs 50,000 without duty.
For a woman, the amount doubles to Rs 1 lakh.
These figures do not fully fit together in the article.
Travellers should check the latest official rules with customs before they travel.
The article says the rules came into force on February 2.
What should travellers do before flying?
Carry your passport, purchase invoice and purity certificate.
The article also advises getting an export certificate from Customs before leaving India.
This helps avoid questions when you return.
If you carry gold above the limit, declare it on the ATITHI app at least three days before reaching an Indian airport.
Then take the red channel to exit the airport. News9Live added that its article is only for information.
- 1Carry key documentsCarry your passport, purchase invoice and purity certificate.
- 2Get an export certificateObtain one from Customs before leaving India to avoid questions on return.
- 3Declare gold above the limitUse the ATITHI app at least three days before reaching an Indian airport.
- 4Exit via the red channelIf carrying gold above the limit, take the red channel to exit the airport.
Graphic: News Anek, from the facts in this report
Exam Corner
UPSC GS Paper 3 · Economy: Customs duty on gold
What's the news
News9Live reported on customs rules for bringing gold from Dubai into India, including duty-free limits for jewellery. The rules apply to residents, NRIs, tourists and workers.
Background
- Customs rules treat gold jewellery differently from gold bars, biscuits and coins.
- Duty-free limits depend on the form of gold, the passenger's stay abroad and gender.
- Gold above the duty-free limit attracts duty, which the article says stands at 15 per cent.
Facts for Prelims
- The article says women can bring 40 grams of duty-free gold and other passengers 20 grams, if they meet residence conditions.
- Gold above the limit must be declared on the ATITHI app at least three days before arrival.
- The article says these rules came into force on February 2.
Content for Mains
- Significance: Gold rules affect household buying during festivals and the revenue the government collects from duty.
- Main issue: Limits based on both weight and value can confuse travellers and lead to disputes at customs.
- Challenges: Enforcing limits at airports, explaining eligibility clearly, and balancing revenue with traveller convenience.
- Way forward: Simpler and consistent rules, easy declaration systems, and clear public information on duty and limits.
Practice question: Discuss the role of customs duty and duty-free limits in regulating gold imports into India. Examine whether such rules balance revenue collection with traveller convenience.
Prelims practice questions
Q1. According to the article, what duty rate applies to gold above the duty-free limit?
- 5 per cent
- 10 per cent
- 15 per cent
- 25 per cent
Show answer
Answer: C. The article states that the duty on gold stands at 15 per cent.
Q2. Which app must travellers use to declare gold above the limit before reaching India?
- DigiLocker
- ATITHI
- UMANG
- Aarogya Setu
Show answer
Answer: B. The article says gold above the limit should be declared on the ATITHI app at least three days before arrival.
Key terms
- Duty-free limit: The amount of goods a traveller can bring in without paying customs duty.
- Customs duty: A tax the government charges on goods brought into the country.
- Export certificate: An official document from customs showing that goods were taken out of the country legally.
More stories for exam preparation: UPSC Today
These points come from this news report. Check them with standard sources such as NCERT books and PIB before your exam.
