look news india
Gold News: Due to the new income tax rules, if you sell old gold today and buy new gold in return, it will be treated as sale of old gold and you will have to pay capital gains tax on it. Because under the new rules made through the budget for the year 2024-25, you will have to pay capital gains on it. According to the long term capital gains rule, you will have to pay long term capital gains tax at the rate of 12.5 percent on the price of old gold sold.
In the year 2001 someone invested Rs. You might have bought 10 grams of gold for Rs 4300 and today the same 10 grams of gold is worth Rs 4300. If sold at Rs. 81000. 12.5 percent amount of Rs 76700 will have to be paid. While doing this calculation he will stop getting the benefit of indexation. Therefore, selling your old gold will result in huge long term capital gains tax liability.
If you sell jewelery or gold after two years of purchasing it, you will have to pay long term capital gains tax at the rate of 12.5 percent. If you are shopping for jewellery, you will have to forget the expense of hard work. Now labor charges are taken on wood. This will also be a loss. Similarly, if gold is sold for less than two years, short term capital gains tax will be levied on it. Short-term and long-term capital gains tax also applies to the purchase and sale of digital gold. Short term capital gains tax is applicable as per the individual's income and applicable tax slab.
When you buy gold jewellery, you pay Goods and Services Tax at the rate of 3 per cent on its price. Now the new rules of capital gains tax will also be applicable to mutual funds and gold exchange traded funds that provide income by investing in gold from April 1, 2025. However, the old rules of capital gains tax will remain applicable on purchase and sale of gold mutual funds till March 31, 2025. Now some debt fund schemes are known as mutual fund schemes. However, more than 35 percent of his money is invested in shares of local companies.
If an investment made in gold mutual fund is sold before completion of two years i.e. before 24 months, then short term capital gains tax is levied on it. STCG is applicable according to the slab in which the total annual income of an individual falls. If the gold mutual fund investment is sold after twenty-four months, the gain will be treated as long-term capital gain and will be subject to capital gains tax at the rate of 12.5 per cent. The benefit of indexation given till now will not be given from now on.
If an investment made in a gold ETF-exchange traded fund is sold within twelve months, then short term capital gains tax will have to be paid on it. Long-term capital gains tax at the rate of 12.5 per cent will be levied on listed gold ETFs sold after completion of 12 months.