Centre Revises Customs Duty on Precious Metals; Puts 5% Duty on Gold, Silver, Platinum Findings

New Customs Duty Rates for Gold, Silver and Platinum Take Effect Today The importer must adhere to the Customs (Import of Goods at Concessional Rate of Duty or for Specified End Use) Rules, 2022, to qualify for this rate. New Delhi: The Ministry of Finance has updated the customs duty rates for various precious metals and jewellery findings, which comes into effect today, May 13. Under the revised schedule, gold and silver findings will now attract a 5 per cent duty, while platinum findings are set at a rate of 5.4 per cent. The notification also establishes a 4.35 per cent duty for precious metal spent catalysts, a rate contingent upon the strict fulfillment of specified compliance criteria. The notification provides a precise definition for the items subject to these new rates to ensure clarity in trade and taxation. "For the purposes of this entry, gold, silver or platinum findings mean a small component such as hook, clasp, clamp, pin, catch, screw back used to hold the whole or a part of a piece of jewellery in place," the official notification stated. For the import of spent catalysts or ash containing precious metals, the lower rate of 4.35 per cent is tied to rigorous end-use requirements. The importer must adhere to the Customs (Import of Goods at Concessional Rate of Duty or for Specified End Use) Rules, 2022, to qualify for this rate. "Provided further that the importer at the time and place of clearance: -- (a) gives an undertaking to the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be, regarding percentage of precious metals contained in spent catalyst or Ash containing precious metal being imported and to the effect that the said goods are imported for recovery of precious metals," the Ministry of Finance directive noted. The regulatory framework also mandates environmental clearances for these specific imports. The Ministry has made it mandatory for importers to provide documentation proving that the materials are being handled for legitimate recycling or recovery. The importer "produces a certificate from the Ministry of Environment, Forest and Climate Change before the Deputy Commissioner of Customs or Assistant Commissioner of Customs, as the case may be, permitting import of spent catalyst or Ash containing precious metal for recovery or recycling purposes," the document explained.