Udupi: With the hike in excise duty by 1% for gold and also TCS applicable on purchase of gold ornaments above rupees 2,00,000 in the annual budget, the Udupi Jewellers Association has decided to shut down jewellery shops as a symbol of protest for three days from March 2, 2016.
Prime Minister Narendra Modi had assured to protect the interests of the jewellers but his promises have not yet materialized. In the annual budget presented by the Finance Minister Arun Jaitley 1% excise duty has been levied on the jewellers with an annual turnover exceeding 6 crore rupees. There is also 1% hike in excise duty for diamonds, jewels and precious stones. The introduction of GST will destroy the livelihood of jewellers.
The government considers gold as luxury item while it is mandatory for weddings and prominent occasions, with the hike in taxes it will directly affect the consumers and also jewelers. The UPA government had earlier hiked 10% customs duty on gold and the present BJP government has hiked the customs duty by 2.5%. If the same continues the gold sector will face severe crisis.
Sunil Shet, Ravi Shanker, Mohan, Yogish and others were present.