Jewellery sector turnover of Rs.2-3 lakh crore must be taxed

ArrayNew Delhi, March 4 (IANS) With the strike by the Indian gems and jewellery industry continuing for the third day, the government on Friday asserted that the sector should be taxed and, thereby, become part of the system.

The jewellers began a three-day pan-India strike on Wednesday to protest the Budget 2016-17 proposals which envisaged re-imposition of one percent excise duty on gold and diamond jewellery and mandatory quoting of PAN by consumers for transactions above Rs.2 lakh.

“The gems and jewellery industry, with a total turnover of Rs.2-3 lakh crore, is untaxed. The government feels that this economic activity should come into the system and should be taxed,” Central Board of Excise and Customs (CBEC) Member Ram Tirath said at a post-budget interaction here at industry chamber FICCI.

He said implementing the proposed levy has been “made as simple as possible”.

“One is not required to give any statement of stocks and there are no verifications required,” he said.

“Registrations will be granted within two working days of applying,” Tirath added.

Finance Minister Arun Jaitley has proposed a one percent excise duty on jewellery without input credit, or 12.5 percent with input tax credit, on jewellery, excluding silver, other than studded with diamonds and some other precious stones.

The Centre had earlier introduced a one percent excise duty on gems and jewellery in 2005, but dropped the cess subsequently.

Leave a Reply

Please enter your comment!

The opinions, views, and thoughts expressed by the readers and those providing comments are theirs alone and do not reflect the opinions of www.mangalorean.com or any employee thereof. www.mangalorean.com is not responsible for the accuracy of any of the information supplied by the readers. Responsibility for the content of comments belongs to the commenter alone.  

We request the readers to refrain from posting defamatory, inflammatory comments and not indulge in personal attacks. However, it is obligatory on the part of www.mangalorean.com to provide the IP address and other details of senders of such comments to the concerned authorities upon their request.

Hence we request all our readers to help us to delete comments that do not follow these guidelines by informing us at  info@mangalorean.com. Lets work together to keep the comments clean and worthful, thereby make a difference in the community.

Please enter your name here