Apart from being a precious metal, gold offers investors a hedge against inflation. This is the reason why people all over the world want to invest in gold. You can’t imagine a wedding or festival, or any social occasion in India without any sort of gold or gold jewelry. When it comes to buying gold, Dubai is considered to be a gold-buyers paradise, famously known as the City of Gold. However, there is a limit on the amount of gold that can be brought from Dubai to India. The question that arises in everyone’s mind is how much gold is allowed from Dubai to India or how much gold can we bring from Dubai to India?
How much gold we can carry from Dubai to India?
Low gold rate and high quality of gold in the UAE are the main reasons why expats resort to buying gold in Dubai. In addition, Dubai is a tax-free haven, which means you will not incur VAT or sales tax when buying gold from Dubai. However, a few years ago the Central Board of Indirect Taxes and Customs set limits on the amount of gold that can be brought to India from Dubai and other emirates. Let’s understand how much gold can we bring from Dubai to India.
Duty-free import limit on gold from UAE to India
The Central Board of Indirect Taxes & Customs on 1 April 2016 stated that any Indian passenger coming back to India after a period of more than 1 year can carry any gold jewelry in their baggage to India. The amount of gold that one can bring from Dubai to India varies from male passenger to female passenger as under:
|Passenger||Aggregate weight||Maximum value (INR)|
|Male||20 gram of gold jewelry||Rs. 50,000|
|Female||40 gram of gold jewelry||Rs. 100,000|
The duty-free allowance on gold jewelry also applies for children who lived abroad for at least one year. Please remember the duty-free limit is only applicable to gold jewelry. Other forms of gold, such as bars, coins, etc. are liable for the customs duty fee.
Limit on carrying gold
If any passengers traveling from Dubai to India carry gold jewelry more than the set limit, they will have to pay a customs duty fee. However, one common question among people is how much gold can I bring from Dubai to India?
All Indian citizens, who have lived abroad, or Dubai for that matter, for more than 6 months can carry gold coins or bars weighing up to 1 kg in their baggage while traveling to Indian. However, they will be liable to pay the fee charged as customs duty for carrying the amount of gold that exceeds the duty-free import limit from Dubai to India.
Customs duty rates
Here are the customs duty rates for carrying extra gold to India from Dubai:
|Particulars||Customs duty charges|
|Gold bars||Rs. 300 per 10 grams + 3% of Edu cess|
|Gold in other forms i.e. coins, ornaments, etc.||Rs. 750 per 10 grams + 3% Edu cess|
Note: If you bring gold within the mentioned limits from Dubai to India without residing in Dubai for up to 6 months, you will be liable to pay an additional customs duty of 36.05%.
The customs duty charge for carrying bars and coins that weigh more than 1kg is 36.05%. As per UAE Embassy, an individual traveling to India from the UAE can’t carry more than 10kg gold, even the ornaments.
Conditions for carrying excess gold
- The customs duty charges for carrying above limit gold should be paid in a convertible foreign currency.
- The passenger needs to provide all the proof of purchases and other documents to avoid complications related to goods at the airport.
- Failure to comply with the regulations will result in persecution, confiscation or detention until all the documentation and paperwork are completed.
- The gold bars must have all necessary inscriptions. The information must include details like weight of the bar, serial number and manufacturer.
- To import gold above the allowed limit of 1Kg, the individuals should not have brought gold or any other metals and gemstones that exceeded the maximum limit allowed, in the past 6 months from Dubai to India.
- The individuals should not have received any sort of exemption from making payments of the customs duty on gold during his/ her short visits to India.
- Any piece of jewelry studded with expensive gems and pearls can’t be imported from Dubai to India.
- The gold can either be brought as an item in checked baggage or it can be imported within 15 days of an individual’s arrival in India in the form of a piece of unaccompanied baggage.
- The passenger needs to file a declaration in detail in the form prescribed before the officer of customs before arriving in India.
- The passenger needs to state the intention to obtain gold from the warehouse bonded by customs and pay the customs duty before the clearance.
How is the customs duty calculated?
Here are rates applicable on gold imported from Dubai to India:
- Specific duty rate: This rate is calculated on the basis of the quantity or weight of the gold.
- Ad-valorem duty rate: This rate is calculated on the basis of the value of gold only.
On top of the above charges, an education cess of 3% is charged on the applicable value of duty. As a responsible traveler who brings gold to India, you must be aware of the applicable charges and complete all formalities to avoid unnecessary inconvenience and penalties.
There are various reasons for people buying gold from Dubai such as quality of gold and lower price among others. However, expats must know about the import restrictions on gold limit from Dubai to India along with customs duty charges applicable for carrying extra gold. CIBIC sets various restrictions to discourage any gold smuggling and improve the overall economic deficit. Hence, it is important to be aware of the latest custom laws and the amount of gold allowed from Dubai to India.
NRI who want to bring gold from Dubai or other parts of the UAE to India needs to meet conditions set by the Central Board of Indirect Taxes & Customs. To know about the guidelines related to import of gold to India from Dubai in detail, you can consult experts at SBNRI. You can download SBNRI App from the Google Play Store or App Store to ask any questions related to investment in gold, mutual funds, NRI account opening online and tax filing in India. Also visit our blog and YouTube channel for more details.
A male passenger is allowed to carry a maximum of 20 gms, which doesn’t cost more than Rs. 50,000 lakh and a female passenger can carry a maximum of 40 gms that should not cost more than Rs. 1 lakh as a duty-free allowance.
The import duty imposed on bringing gold to India is 12.5%.
You need to declare your gold jewelry at customs and pay the fixed import duty. After that there will be no restrictions to bring gold to India.
Male passengers coming back to India from Dubai can bring gold jewellery up to 20 gram that should not cost more than INR 50,000. Female passengers are allowed to bring up to 40 gram of gold jewellery, not costing more than Rs. 1 lakh. Such restrictions are not applicable for individuals who pay government-defined import duty.
Yes, it is cheaper, because of two reasons:
– Gold is tax-free in Dubai and India levies taxes on sale of gold.
– Surprisingly, making charges are also cheaper and the quality is also good.
The gold amount that a tourist can bring from Dubai to India depends on the type of the traveler i.e. male or female. A male passenger is allowed to carry up to 20 grams of gold costing no more than Rs. 50,000 and a female traveler can bring a maximum of 40 grams of gold that does not cost more than Rs. 1 lakh.