Gold prices have seen a significant increase. According to data from the Indian Bullion and Jewellers Association (IBJA) on September 9, 2025, the retail selling price of 10-gram gold jewellery of different purities has jumped in a single day.
- 24kt gold (995 purity): Increased by ₹1,884, with the price rising from ₹1,06,882 to ₹1,08,706 per 10 grams.
- 22kt gold (916 purity): Increased by ₹1,667, with the price rising from ₹98,298 to ₹99,975 per 10 grams.
- 18kt gold (750 purity): Increased by ₹1,373, with the price rising from ₹80,484 to ₹81,857 per 10 grams.
Understanding the Tax on Gold Jewellery
When you purchase gold jewellery, which is typically made from 22kt or 18kt gold, two types of taxes are applied:
- 3% Goods and Services Tax (GST) on the value of the gold.
- 5% tax on the making charges.
Making charges are generally estimated to be around 10% of the gold’s value.
Here’s a breakdown of the tax you would pay on a 10-gram piece of jewellery at today’s rates:
Tax on 10-gram 22kt Gold Jewellery:
- Gold Price: ₹99,975
- Making Charges (10%): ₹9,997
- Tax on Gold (3%): ₹2,999.25
- Tax on Making Charges (5%): ₹499.85
- Total Tax: ₹3,499.10
Tax on 10-gram 18kt Gold Jewellery:
- Gold Price: ₹81,857
- Making Charges (10%): ₹8,185
- Tax on Gold (3%): ₹2,455.71
- Tax on Making Charges (5%): ₹409.25
- Total Tax: ₹2,864.96
The total tax for buying a 10-gram piece of both 22kt and 18kt gold jewellery would be ₹6,364.06.
Note: Gold prices and making charges fluctuate daily, so the tax on gold jewellery purchases will also vary.