buying gold from dubai: Gold is much cheaper in Dubai than in India, so many people think that buying gold from there and selling it in the country is a very profitable deal. But according to experts, this work is neither easy nor is there any risk in it. Let us understand the benefits that migrants will get under the new rules and the dangers hidden in it.

1. How much gold can you bring?

Only expatriates staying abroad for more than a year get the benefit of duty-free.

For men: 20 grams of gold jewellery.

For women: 40 grams of gold jewellery.

Note: This discount is only on jewellery. You will have to pay tax on gold coins and biscuits from the first gram itself. By paying tax, you can bring maximum one kg of gold. But, tourists going abroad for a short period do not get this tax exemption.

2. What is the advantage in Dubai?

Compared to India, gold is 5 to 7 percent cheaper in Dubai. The reason for this is that there is no customs duty and GST like India. Moreover, Dubai Gold Souq has low making charges and guaranteed purity of gold, which makes it even more attractive. Tourists get refund of VAT paid in Dubai, this is also a plus point.

3. How much tax will have to be paid in India?

If you bring more gold than the free limit, you have to pay customs duty.

For expatriates: People who have stayed abroad for more than six months have to pay about 6% tax on gold biscuits etc.

For tourists: Those visiting for short periods may have to pay a heavy tax of 36 to 38.5 percent.

Additionally, 3% GST and changes in currency exchange rates will also impact your profits when selling gold in India.

4. Legal issues and threats

If you hide the fact of bringing gold, you may have to face legal actions like heavy fine, confiscation of gold. According to the Customs Act, 1962, it is mandatory to give correct information about gold. Apart from this, sudden fall in gold prices and changes in the value of rupee can also cause huge losses. Also keep in mind that goldsmiths in India can reduce the price when buying gold brought from outside.

5. Is it beneficial to buy gold worth Rs 20 lakh?

Experts say that buying gold worth Rs 20 lakh from Dubai and bringing it to the country with the intention of selling it is not at all beneficial for any person.

After taking out customs duty, GST and currency conversion expenses, very little profit will be left in hand.

The Customs Department will strictly investigate if such a large quantity of gold is brought for business purposes. It is illegal to do this kind of business without a license.

Overall, it is okay to bring gold for your own use or to gift it to someone, but considering it as a profit-making business can put you at great risk.