The government has increased import duties on gold and silver finds and coins to 15 percent by levying a 5 percent Agriculture Infrastructure Development Cess (AIDC).
According to a notification of the Central Board Of Indirect Taxes & Customs (CBIC), an AIDC of 4.35 percent has also been imposed on ‘spent catalyst or ash containing precious metals’.
AIDC has been applied in addition to the basic customs duty of 10 percent to bring the incidence of import duty on precious metals online with bullion.
‘Gold or silver findings’ refers to a small component such as a hook, clasp, clamp, pin, catch, or screw back, that is used to hold the whole or a part of a piece of jewelry.
The increased obligation went into effect on January 22.
In the 2021-22 Budget, the government established an AIDC cess on select items to fund agricultural infrastructure.